I assume it is due to machine translation? I do not see mentions of "failure" at all, which would be expected to exist if it was to increase variety.
I think (heard) some used to translate an article back and forth a few times to get a "new" article, but maybe it could have been some kind of "paraphrasing" software like you describe (but for avoiding plagiarism detection rather than repetitions).
https://en.wikipedia.org/wiki/Article_spinning?wprov=
It's just an old plagiarism method