This is only thinking at the hardware layer. There are also effects at the software layer.
Function calls not known to LTO prevent all sorts of compiler optimizations as well. In addition, as Jeff says on this thread, not being able to inline free means you get no benefit from sized-delete, which is a substantial improvement on some workloads. (I'd cite the exact number, but I'm not sure Google ever released it.)
Source: I literally worked on this.