Exactly: it reverses the optimum strategy for both sides.
After an initial land grab, the Central powers can afford to be essentially defensive, especially on the western front. The “long game” need to eventually take Paris and Rome can be forgotten.
The Allies in contrast can no longer afford to wait before driving into enemy territory; they have to grab something of the Austrian and German homelands, something which you only tend to see late on in games with no time limit.
This all makes for a very different game, which may not be a bad thing; but I believe a more balanced solution for short game victory conditions would involve specific targets for the CPs after any given round, with victory cities being the simplest measure of progress.