This is unbelievable. We're all used to Google abandonware by now but the resources required for storage of shortened URLs and any dev maintenance must be so miniscule to be a rounding error to a rounding error on any budget anywhere in the company.
What can possibly be the motivation for this? I see no rationale for it in the linked post.
Google already has severe trust issues with anything they launch. They hurt themselves because people expect whatever is being launched to be abandoned so why invest in it? Reputation matters.