It doesn't need L3 cache because, like RacerX said, the system bus is fast enough that the CPU can fetch data from the RAM without having to wait for the slow bus like in G4 systems.
L3 cache is only needed to store frequently needed data/instructions so the CPU doesn't have to wait while they are retrieved from main RAM.
L3 cache is quite expensive as well, and if it's not needed, there's no reason to increase the cost of the CPU.
The G4 400 doesn't need any because the CPU is too slow to require data faster than what the system bus can transfer.