Yeah, basically. However, Im also saying that it favors the MD more than any other weapon. Scrambler pistol wouldn't have trouble finishing them off, but it would likely take 2 or more shots if you don't get a headshot and you have to actually hit your target dead on for those shots to count. Whereas the MD is very forgivining, you just place a shot near them and its bonus damage to armor will typically one shot someone.

Another sort of related problem is you cannot even use armor tanking as a way to get around this. Being that the MD has a bonus to armor damage they will be able to flux your shields off, and then hit you for bonus. To make this problem exponentially worse, armor plates give the user a movement penalty. This makes it even easier for a MD user to track and hit their target. But to be clear, I feel this is a problem with the flux filling a role that will no longer be needed soon, and not a problem with the MD itself. The mechanic is simply very broken with the MD.

The problem with you logic is that you are saying MD should be a support weapon for distance. But the father a target stands from MD the longer it takes for the shell to reach the rarget and in Dust shells fly too slow relative to infantry speed, so by the time the shell explodes the targe is no where near the blast radius (since the blast radius is so small now). So MD is mostly viable for CQC only now.