So, I can understand this from a generic combat-heavy game balance perspective. But I have trouble understanding this from a ... describing the action perspective.
"I attack you. I hit! I hide and you can't see me. I hit you again you! I hide and you can't see me. I hit you again!"
There's a fine line between game balance and farce?
In my mind, I always understood (and this may just be me!) as the classic ability going back to the backstab/assassinate - you know, a single, devastating attack from hiding to start the combat. I just have trouble with the mental mapping of the hit/hide/hit/hide mechanic.