Yes. That’s the “upgrade”, not “restore” process that bricked those phones. It is also the first version of the iPhone OS 1.x, which is now into its third major iteration, 3.x.
That technicality of course ignores the fact that the affected users not only violated the terms of their usage agreements, but they stupidly ran the Apple update process on a hacked version of Apple’s (and third party) software.
If I recall, a “restore” was the first step in upgrading the early versions. First you restore, then you update, and then you add your data back on, and if by then a new hack was available you installed it and got on with your life.