Why the US Marine Corps traded AAV7 capacity for ACV dispersion

Is replacing the tracked AAV7 with the wheeled ACV a downgrade for the US Marine Corps?

Not for the intended island-raiding doctrine: the ACV carries a squad-sized element, disperses risk, and offers useful speed ashore.

The wheeled ACV is assessed against raiding and island operations, where useful speed after landing matters. The AAV7's 21 passengers concentrate more potential casualties in one vehicle than the ACV's 13, while both carry three crew. Using the stated capacities, five ACVs carry 65 passengers compared with 63 in three AAV7s, spreading almost the same force across more vehicles. Thirteen passenger places also fit the rifle-squad organization used in the comparison. Changing to a visibly different vehicle is offered as a way to make reduced capacity easier to justify to purchasers who would otherwise expect a direct replacement to carry as many troops as its predecessor.