While Amdahl’s Law is very important, its practical effects are very frequently overestimated, at least as frequently as Knuth is misquoted.
Simple problems, e.g. solving a system of equations, will usually include some non-negligible sequential part, which, according to Amdahl’s Law will limit the amount of speed-up provided by hardware parallelism.
On the other hand, complex problems, e.g. designing an integrated circuit, can usually be decomposed in a very great number of simpler subproblems that have weaker dependencies between them, than between the parts of a subproblem, so that by distributing the execution of the simple subproblems over parallel hardware that executes sequentially each subproblem you can obtain much greater acceleration factors than when attempting to parallelize the execution of each simple subproblem.
With clever decomposition of a complex problem and with good execution planning for its subtasks, it is much easier to approach the performance of an embarrassingly parallel problem, than when trying to find parallel versions of simple algorithms, whose performance is frequently limited to low values by Amdahl’s Law.
Amdahl’s Law frequently prevents you from reducing the execution time of some task from 1 minute to 1 second, but it normally does not prevent you from reducing the execution time of some task from 1 year to 1 week, because a task so complex to have required weeks, months or years before parallelization normally contains a great enough number of weakly-coupled subproblems.