Perhaps. This was also before CDNs were a thing, so they may have decided they can't afford to be one, as more and more people discovered just how versatile the Public/ folder is.

Either way, this was the peak of Dropbox; after shutting down direct Public/ links, it was still useful for its main job as seamless cross-machine, cross-platform "folder that syncs", but gradually lost market share as OneDrive and Google Drive became more broadly useful (and had the advantage of being first-party on their respective platforms), and then Dropbox the company itself lost focus and tried a bunch of failed pivots in the direction towards cloudification, away from "just syncing files".

End result for end users? We now have zero options for bullshit-free, file-first, seamless "folder that syncs" experience for non-tech users (techies that like fiddling with things have Syncthing). Only cloud-first options remain, and they're full of footguns and enshittified to the core (which becomes apparent the moment you want to share a file outside of the vendor's cloud ecosystem).