I suspect Qualcomm focuses far more on their modems and integrating their modems into the CPUs because that is where their IP is. Fundamentally the reason Qualcomm can charge what they charge for their CPUs revolves around bundling their modems.

Nvidia is the most likely company to build a higher end ARM CPU to compete with the M1. With the ARM core and their GPU expertise, they could conceivably crank out something which performs much better than Qualcomm.