Yes, that solution has been known since at least the 1970's. The cost and complexity of adding all those diodes was an impediment in the old days, not sure how much of an issue it is today.

I did it for a hand-wired keyboard, and the total cost was under 1USD, and no real complexity was added (I just used the diodes as the row wiring, the only thing to keep in mind was having the correct orientation). For modern manufacturing, there's no excuse not to use diodes in the circuit.