To add to your cynicism, university exams started as way to select WASPy prep school students instead of "overachieving" Jewish public school students. See, the tests included a section on Latin, which was much more often taught in private prep schools than public high schools.
To detract from your cynicism, the intrinsic assumption is the SATs are meaningful indicator of "rightfulness."
My understanding is that at best it shows a correlation with the first year of college, and that high school grades show a better correlation than the (gameable) SAT.
Don't know if the WSJ article covers any of this - don't have a subscription. But the header suggests this change is only for the next year, as a response to the pandemic, and not (yet?) a long-term change, so it likely doesn't touch on these issues.
Can't win the lawsuit? Eliminate the proof!
Harvard did win the bias lawsuit last year (october 2019): https://www.theguardian.com/us-news/2019/oct/01/harvard-ruli...
The organization challenging this is still there: https://studentsforfairadmissions.org/
Here's their latest complaint (march 2020): http://samv91khoyt2i553a2t1s05i-wpengine.netdna-ssl.com/wp-c...
Their latest update links to this paper (april 2020): http://samv91khoyt2i553a2t1s05i-wpengine.netdna-ssl.com/wp-c...