Depends on the company. I think the FAANGs basically all require jumping through the same hoops. Optimistically it prevents nepotism, but I think that's less of a worry in tech circles, and the times I've seen interviewers overridden because of connection between tech people, it's generally worked out. Of course, for non-tech (product, marketing and the like), it's been hilariously bad.

I was recently interviewed by a Google bet with a referral from a well-liked VP level employee for a job I was well qualified for (IMO) and didn't make it past the phone interview. /shrug I just blame it on Covid.