As ever armour development was in a context of it's time. Motor transport had only become serious just as WW1 began in the most industrialised world. Even in the 1970's I can recall the old rag and bone man coming around with his horse and cart in a London suburb. Roads and bridges were being constantly surfaced, enlarged and bridges strengthened to take these new motor lorries and their high axle weights. A light tank made tactical sense away from the most developed parts of the industrialised world and even the medium tanks of the day were tactically restricted in the routes they could use. The Italians stuck with light tanks for use on tight narrow alpine roads. The Japanese had to cross lightweight Chinese bridges. It made sense just then. The light tank was not only a budget choice. When even the anti tank rifle could take on a lightly armoured light tank it's day was over so some tasks went over to lighter better ranged and more reliable armoured cars. Generally improvements in roads and in military engineering allowed the use of medium tanks for the same role and the medium tank could win a fire fight rather than just lay down fire to cover a withdrawal. Whilst one could put a better gun on a light tank and make it a mobile anti tank defensive gun it could not mount the weight of armour to live under increasingly powerful opposition. Mount that level of armour to survive and you just have a bad medium tank.