It's worse than that. We built Tofino powered boxes. We have multiple paying customers who bought and deployed them. Intel then cancelled it, screwing us and our customers.
With regards to Tofino, I think they've looked at the portfolio and realized they can fill that niche with their FPGA products. Looks like they've stripped out all the useful IP from Barefoot and repackaged it to be used on a Stratix/Agilex chips, or as tiles on their other devices.
Oh you can build crazy 800G (or up to 1200G) stuff (that don't fit PCIe bandwidth) but the entry price is quite steep, see https://www.reflexces.com/pcie-boards/intel-stratix-10-fpga/...
The real interesting part of the Tofino line was the advent of P4, for smart network switch and eventually some processing in network, scatter-gather support or all-reduce. Some competition for nvswitches but on standard Ethernet for example.