This sounds contrived. Being the skeptical sort we should all be, there is no reason to believe the sources (if you believe they exist) regarding supposed cynical reasons they didn't proceed with a considered UI.

Maybe Facebook found that people really actually liked the other variant better? Or maybe they were just ambivalent about it, and if we've learned anything about widely deployed social media sites, it's that you need a really, really good reason to change things.

And to add just a bit more on the "contrived" notion: My Facebook feed looks very similar to the first page, with big, colourful pictures dominating my news food. If my network had people posting short twitter-like missives, I suppose it would look like that. Outside of trivial CSS differences, the only real variation is that I don't have the confusing iconography down the left, instead using that massive area of white space for descriptive text.