This is such a good decision. It's one of those things that's incredibly confusing initially, but you get so used to it over the years, I even forgot it was a quirk.
In the modern world there is no plausible scenario where this would compromise a password that wouldn't otherwise also be compromised with equivalent effort.
Yes… We're in the same room as the target… Let's look at their screen and see how long their password is.
Or, we could just look at the keyboard as they type and gain a lot more information.
In an absolute sense not showing anything is safer. But it never really matters and just acts as a paper cut for all.
I tend to agree, and I work in security.
In the early days we all shared computers. People would often stand behind you waiting to use it. It might even not have a screen, just a teletype, so there would be a hard copy of everything you entered. We probably didn't have account lockout controls either. Knowing the length of a password (which did not tend to be long) could be a critical bit of info to reduce a brute force attack.
Nowadays, not so much I think. And if you are paranoid about it, you can still set it back to the silent behaviour.
I also think it is a good decision. Nevertheless it breaks the workflow of at least one person. My father's Linux password is one character. I didn't knew this when I supported him over screen sharing methods, because I couldn't see it. He told me, so now I know. But the silent prompt protected that fact. It is still a good decision, an one character password is useless from a security standpoint.