Oh, it's absolutely due to that whole latency/don't get ganked/falling to death thing. Especially the latter, I believe the power originally did not have the hover at first, and it didn't go well for that old internet.
Now, though - it's pretty clear that most people generally have better internet than back then. The hover remaining, but breaking the second you make movement would be good, though I don't think it's necessary for those with the shift+click port binds. Main thing I want to go is the incredibly slow activation/recovery of the power, when a teleporter clicks a location to port to, he should be THERE. Compared to CJ or SS, it's the least practical travel power for confined spaces/combat.