What is the big deal? She is going to be gone soon enough regardless and has little substantial input at this point.
Symbolic victory for the Sanders loyalists, makes them feel like they won the battle even though they lost the war. From their perspective, DWS was the right hand woman of the Big Bad Clinton Wolf. It's a laughably incorrect perception, but one they possess nonetheless. Since DWS was likely resigning after this campaign season anyway, it was better to can her than insist she stay on and go into the Philadelphia convention with divisions still proliferating the party.
Anyway, she was a pretty awful chair from what I hear, so good riddance, I guess.