[jbay808]

So, mainly two reasons that I am aware of. First, with a long spindly motor running at high speeds, eventually shaft whip becomes an issue; the distance between the bearings ends up being really far. Second, designers usually want low-speed torque more than super-high-speed power, and at high diameters you get a bit more torque than small long motors of equal volume, because torque scales more like the volume of a somewhat hollow cylinder rather than a fully solid cylinder.