Each data rate in the standard uses a different encoding technique. "Faster" encoding techniques cram more data into a given transmission interval but require a higher signal to noise ratio to be received without error. Since SNR declines with distance you can have a rough idea at what distance from a transmitter you will be able to receive at what data rate.
However, people and vendors focus far too much on maximum throughput. I've seen data showing that even in the best conditions, clients spend about 1% of their time transmitting or receiving at the highest data rates. Because they are dynamically adjusting the data rate based on the perceived SNR.
Individual clients' peak throughput also works against _aggregate_ throughput when talking about wireless networks with multiple users. If you have 100 clients, do you want one to be able to dominate the others or everyone get a more or less equal share? These peak speeds assume configurations that I would never deploy in practice, because they favour individual users and cripple aggregate throughput - things like 160 MHz wide channels.
But the sticker speed is what sells..
Correlated, but obviously bad code can really fuck with neighbors. And each client has an incentive to be greedy so users of that client get a better experience. So you fall back again to QOS for what you care about..
If you have a good connection and are successfully able to transmit packets to your AP at 600Mbps, and your neighbour has a poor connection and is transmitting at 6Mbps to his AP at that moment, you literally have to wait ~100 times as long for a free medium before you can attempt to transmit. And that's for every single frame. Then you have to hope his client is well-behaved enough not to transmit while you are transmitting. Otherwise you end up having to wait again and retransmit anyway.
You might not notice this with only 2 clients. It might be the difference between a 80MBps and a 50MBps download for example. But it decays exponentially with the number of clients.
But you're technically correct!
But then again, the sentence uses the term "signal strength", not "throughput", so that would suggest quadratically. But I guess "signal strength" could be meant colloquially and mean more than just the raw signal power received by the antenna, here.
It's all very fuzzy to me, as it stands.
Because the variable is the base, not exponent.