I think this is going to be something that WotC finds regrettable. But they did so out of a percieved necessity. Whether or not they're hiding behind a false reason (the "sudden discovery" of the phb2 piracy) or they feel that their reasoning is legitimate, they're going to stick with their guns.
With that said I find it curious that (to my perspective) they haven't been able to follow through with a single technology enabled extension of D&D, which is sad because the perception I had in 2000 was that, despite my misgivings about d20 and 3e, D&D was in the hands of very geek-tech savvy people who knew what they were doing. Has that conceit been disposed of, then? Is D&D now just in the hands of people who are just nudging it along? I find that hard to believe.
I think, rather like the death and rebirth of DUNGEON and DRAGON magazines that what this really is, is WotC bringing all their chickens home.
If it is a long term strategy to do just that then the people who are responsible for creating it are either "very smart or very dumb", to quote JAWS. The eyes of most of us internet enabled gamers (which has to be a considerable portion of WotC's customer base - they allegedly designed 4e around that very notion) are now pointed at them waiting for what they do next.
With all that said I don't think I've ever made it unclear what version of D&D I prefer and think is best, but I don't think this is some attempt by WotC to kill off old D&D once and for all. Original D&D didn't go away when AD&D came out, and likewise AD&D didn't go away when AD&D 2e came out, and so forth. So it won't now that PDFs aren't available. I won't be a fan of 4e, regardless of what they do, and if anything this makes me view them with a far more skeptical eye.