I have the exact opposite experience.
in better packages than 8 bitters.
64MHz, cortex M3, 64kB RAM, 512kB flash, 64-TQFP package, at US$4.79.
32MHz, PIC24 (16bit), 96kB RAM, 128kB flash, 64-TQFP, at US$4.91.
flash and half the speed.
at > 30MHz. Much faster than any 8-bitter.