Yes, that was their indicated strategy, though I think that pruning the top-end, the APS-C halo 'Pro' model is not the way to go.
There is huge demand there from the enthusiast (prosumer/pro) customer - especially for a product that will outdo the competition Nikon D500. DX is the only way to get that longer length 'crop factor' focal length that is a necessity for bird photographers not wishing to use TC's, or get away with lower power ones (the widest aperture overall is always desirable).
This is the one area that smartphones (even the new ~160mm eq telephoto ones - Huawei, Oppo) cannot compete with. By all means rationalize the absolutely **bewildering plethora of incremental niche models below the 7D, but if this really is the end of the 7D DSLR line then it's a strategic marketing miss imo. Until FF is cranking out 50MP at 20fps then there will always be a need for a Pro DX.
It really is a case of "if you build it they will come"
** The following 'mess' (from DPReview's product database) is Canon's APS-C (DSLR only) current and recent model line up - a potential new customer would need a PhD in obfuscation to sort it out and decide on a purchase !
● Canon EOS Rebel SL3 (EOS 250D / EOS Kiss X10)
● Canon EOS Rebel T7 (EOS 2000D)
● Canon EOS 4000D
● Canon EOS Rebel SL2 (EOS 200D / Kiss X9)
● Canon EOS 77D / EOS 9000D
● Canon EOS Rebel T7i / EOS 800D / Kiss X9i
● Canon EOS Rebel T6 (EOS 1300D)
● Canon EOS 80D
● Canon EOS Rebel T6s (EOS 760D / EOS 8000D)
● Canon EOS Rebel T6i (EOS 750D / Kiss X8i)
● Canon EOS 7D Mark II
● Canon EOS 1200D (EOS Rebel T5 / EOS Kiss X70)
● Canon EOS 70D
● Canon EOS Rebel SL1 (EOS 100D)
● Canon EOS 700D (EOS Rebel T5i / EOS Kiss X7i)
● Canon EOS Rebel T4i (EOS 650D / EOS Kiss X6i)
● Canon EOS 60Da
● Canon EOS 600D (EOS Rebel T3i / EOS Kiss X5)
● Canon EOS 1100D (EOS Rebel T3 / EOS Kiss X50)
● Canon EOS 60D
● Canon EOS 550D (EOS Rebel T2i / EOS Kiss X4)
● Canon EOS 500D (EOS Rebel T1i / EOS Kiss X3)
Say what !
Imagine running into that lot for the first time !
Surely whoever came up with the "KISS" designation was just having a giant lend. It's no wonder that younger generations with attention spans of around 1.4 seconds are turning away in droves .......