You can certainly refine the software over time (A/B testing, if you will) to more closely attain the ideal, which you may not have well defined at the beginning of the project if you don't perform an adequate review of the needs of the user.
But you can certainly also complete a user analysis that produces requirements, which when fulfilled, solve the problem in its entirety for the user. These two extremes are not absolute - sometimes, if the analysis is incomplete, A/B testing can rescue the project regardless of how poorly the first analysis was performed - but A/B testing, it could be argued, is applying waterfall properly: iteratively, as intended... but by all means, call it 'agile' if that makes the difference to the team involved.
Can you specify which book/process/document(s) you are using in your day-to-day? This could be very interesting in future discussions with clients, to say the least!
Also to note, the paper is titled "Managing the Development of Large Software Systems."
The author outlines 5 steps they believe need to be used to improve the success of a project. One step is called "do it twice" in which the author advocates the development of a prototype well in advance of delivering the final product. I think this is iteration. It's not indefinite iteration, but it's definitely not showing the big bang single release waterfall approach either.
It also advocates to involve the customer throughout the process instead of only at the end.
The summary says to refer to Figure 10 as the process that incorporates the author's steps. This final diagram is pretty far from the simplified and flawed waterfall picture that has been pulled from the front of the document.
[1] http://www-scf.usc.edu/~csci201/lectures/Lecture11/royce1970...
Waterfall is not iterative. That’s the whole point. You go over the waterfall once. If you’re iterating then, by definition, it’s not waterfall.
> you can certainly also complete a user analysis that produces requirements, which when fulfilled, solve the problem in its entirety for the user
This is almost always false, for any non-trivial project, within the usual commercial constraints of money and time.
> I don't agree with this, as I believe it is very, very glib
This implies that all A/B testing is worthless, which is .. surprising.