Hi Rainbows
Yes this has been done in an attempt to improve the accuracy of the spindle reducing any radial forces on it.
The ball bearing and its inner driving collar that supports the drive pulley is supported by the head stock frame, the spindle is driven by that via splines or a key. in a way a spindle within a spindle.
The real spindle is supported in its own separate bearings, the only touching point is the drive key.
I am sure there are other members that may remember other companies that did this.
From Memory the German company VDF did this with one of their lathes? They also offered plain bearings for some of their lathes the objective being a finer surface finish. Even super precision bearings create some bearing noise that may affect the work finish. The Diamond turning lathes used to turn computer disks do not use ball bearings, Air or magnetic levitation bearings are used for mirror finish required.
Regards
John