While you're prepping, bring a large pot of salted water to a boil. Dice the red onion into 1/4-inch pieces, mince the garlic, tear the basil into bite-sized pieces, and finely grate the parmesan cheese. Once water boils, add the gnocchi and cook according to package directions (usually 2-3 minutes after they float to the surface). Drain gnocchi in a colander and set aside—they'll be tender and ready to absorb the sauce.
Heat 2.5 tablespoons olive oil in a large skillet over medium heat. Add the diced red onion and cook for 3-4 minutes, stirring occasionally, until it softens and becomes translucent. Add the minced garlic, Italian seasoning, smoked paprika, and red pepper flakes, stirring constantly for about 30 seconds to bloom the spices and release their aromatics—this is crucial for building deep flavor. Stir in the tomato paste and cook for 2 minutes, allowing it to caramelize slightly against the pan, which concentrates and sweetens the tomato flavor.
Add the 1/2 cup sundried tomatoes and 2/3 cup vegetable broth to the aromatic base from Step 2, stirring well to combine. Bring the mixture to a gentle simmer and let it cook for 5-7 minutes, allowing the flavors to meld and the sauce to reduce slightly. The broth will create a light, flavorful base that isn't too heavy, and the sundried tomatoes will soften and infuse the sauce with their concentrated sweetness.
Reduce heat to low and pour in the 3/4 cup cream, stirring gently to incorporate. Once the cream is warmed through (about 1 minute), slowly add the freshly grated parmesan from Step 1, stirring constantly until the cheese melts completely and creates a silky sauce. This low heat and slow addition prevents the cheese from becoming grainy. Add the spinach and basil pieces, stirring until they're completely wilted into the sauce (about 1-2 minutes). I like to taste at this point and add a pinch of salt and freshly cracked black pepper to brighten the flavors.
Add the cooked gnocchi from Step 1 to the creamy sauce and gently fold everything together until the gnocchi is evenly coated. The gnocchi should nestle into the sauce and absorb the flavors. Divide among serving bowls and serve immediately while the sauce is warm and the gnocchi is still tender—this dish is best enjoyed right away.