Cities Skylines sees a fairly decent improvement going to the 3D cache chips from AMD (17% speedup here for the 5800x3D). Whats your ability to increase the budget to go for a 7800X3D look like? If this is a genre of game you like and you want to hold off as long as possible between upgrades, it might be worth springing the extra. The difference the 3D cache provides in some games is rather extraordinary. City builders, automation, and similar games tend to benefit the most. AAA games tend to benefit the least (some with effectively no gain).
A 7600X should be more than capable of handling the game though. So it's not a question of need but if it's worth it to you.
You do not want 4800 CL40 RAM though, that's too slow. I'd strongly recommend going for 32GB of RAM as well; 16GB can be gobbled up quickly, especially if you want to use mods in Cities Skylines.
Going up even to DDR5-6000 is not much of a price increase. I'd suggest 6000 and something in the range of CL36-CL40. There's a lot of 32GB kits in those specs in the ~$90 range. I would not build a gaming system today with 16GB of RAM.
The requirements are steep but whether it’s a “good” steep or a “bad” steep will depend entirely on the end result. The pre-release footage looks good so it’s entirely possible that the system requirements are entirely justified. Or that they aren’t.
We’ll need to wait and see the final result. Or, the handful of people on PC willing to put up with EGS will see the final result and the rest of us will debate that secondhand. Not sure how big the market will be on that front.
At the least I expect AW2 to have a healthy lifespan in hardware benchmarking…
(Note that since Epic funded this game from start to finish I don’t begrudge them making it exclusive to their store, unlike the other exclusives. Doesn’t mean I want to buy it, but I don’t fault them.)