Yes, but what it is not is economical. There's a huge dropoff in the interview funnel at this step because it's largely not worth the effort for the interviewee. The choice is between spending 5-10 hours per take home test per company or spending 5-10 hours a week studying silly whiteboard exercises that apply to dozens of companies.
It's also just as uneconomical for the interviewer. I've completed about a dozen of these tests over the last year and only one company bothered to look at the test after I sent it in. Which makes sense; it takes time to look at a lot of code, figure out which of it is boilerplate and which of it was written fresh for the test. And even then, there's no guarantee somebody else didn't write it. And while you may not be interviewing with hundreds of companies, most companies easily get hundreds of applicants per position these days.
For whatever reason, it doesn't seem to be worth anybody's time to do these tests. This bums me out because I'm terrible at live coding tests. But, this is the reality of the situation, so I have to adapt.