Retired Ford Engineer and racing motor guru Brian Wolfe relates what he suspects is happening with the hydraulic roller lifter in the Ford 7.3 V8 in the 1 hour 38 minute to 1 hour 44 minute segment of this long video interview:

https://www.youtube.com/watch?v=DC7gNupejLg

Wolfe believes the roller wheel is “Brinelling” and the failure is not a camshaft problem, although the camshafts are ruined by the lifter.

He states that on a boosted racing 7.3 V8
he replaced the stock roller lifters with Johnson 2126 roller lifters