Yeah, I think this is it; especially the whole 'your reward for landing a good hit and one-shotting the enemy is that you get to do it again immediately' loop, which, as you mentioned, you can hit pretty early on. And which works in full combat, as well as from stealth. Combine that with the fact that literally the only engagments that are at a range where throwing knives are impractical are a couple of gigs in the Badlands (and even then they're not that far) and the fact you can buy half the Iconics if you know where the right merchants are and knives are just... better. Even if you're using a cyberdeck instead of boostware, it's hard to go wrong.
Of course I suspect katanas and/or shotguns/LMGs with the right perk investments blow knives out of the water, so it's all relative.