They jump through hoops so that C programs and the programs of all the other languages designed to run in the same execution model run as fast as possible. It's not to indulge C programmers but to support the vast body of existing software.
Hardware engineers need optimization targets just liker anyone else, and it's an eminently reasonable one.
Also, it's not like loads of improvements not related to the C execution model haven't been made. Demonstrably, the C model is not holding us back.
Anyway, if you want to move on from the C execution model, great. Now you need to introduce a practical transition plan, which should include such details as how and why we should rewrite all of the existing performance sensitive software designed to work in the old model.