Yes, there's long been a vague suspicion. There's been probably at least 30 studies so far going back months that have shown a
possible correlation with low Vitamin D and bad COVID outcomes. The problem is that all of the studies thus far haven been retrospective (meaning looking back at old patient test data with no control group and no active treatment). In other words, all they said was "it seemed like the people with normal vitamin levels also seem to do better".
The problem with that is there are a million reasons Vitamin D might correlate to better outcomes even if it's just a total co-incidence - generally healthy people might spend more time in the sun, health-conscious people might be more likely to take vitamins, other conditions may cause a lack of Vitamin D, etc. There's no proof that supplementing would actually improve outcomes.
This is the first study I've seen that claims to show directly that a supplement given during a hospital stay directly improved outcomes. It's a tiny study, but interesting and hopefully leads to more studies.