GM's transition to the "round" case solved a number of recurring problems;
A) eliminated the coarse spline spud shafts and breakage prone coupler in the SM465/NP205 combination
A)1) Allowed GM to produce one model of 4X4 SM465 transmission instead of two
(long 32 spline output coupled directly to NP208, NP205, and later NP241, without
use of wear prone couplers)
B) greatly reduced the frequency of broken transmission to transfer case adapters due to excessive leverage. I've never seen or heard of a broken "short" adapter--many with stripped threads, but no broken feet. Can't count the number of "tall" adapters I've seen, let alone heard about with broken feet, or cracked/broken in between the tranny and transfer case.
C) Allowed GM to use their heads, and produce one transfer case for the 1 Ton pickup line which would interchange throughout the line, regardless of transmission (Ford had been doing this for years with the 205)
In short, the round pattern transfer case is no stronger than a figure eight, but the necessary adapter is much stronger.
Jimbo