Not only that but 3820 die size is ~300mm2.
a 6-core 160mm2 selling at high volume in desktop market... would make more money for Intel than those XEONs + the 3820. Not to mention they could introduce that CPU to the Server market as well
on the first, given most of the realestate is for the increased cache size, talking about smaller silicon does seem pointless. Even going to 22nm will not make it noticiably smaller if intel look to increase features again.
On the area of 6 core into the desktop market at desktop prices, it will probably give intel more money but at the cost to the server market as, i suspect, the workstation market will move from Xeons to desktop chips. Not in intel's interest.
Side note against intel releasing a 6 core desktop is people will have less reason to upgrade which will effect intel's long term profitability for the home consumer.
Introducing the 6 core s1155 into the server market would be a flop in several areas. They would run hot, effecting server room cooling/power (which is a area atom seems to be starting to excell at) and with only dual channel, the limited memory (bandwidth in some, number of sticks on the other hand) means they are not as effective in most tasks big business care about. Of course, the chip would have to be redesigned to allow multiple sockets to even have a chance of being accepted.
In the end, intel releases products aimed at what they think a given market needs/wants and design to suit. If you are not a average consumer that fits into one of their market segmentation system, then they generally do not care or want you as a customer. Just like very other business.