It’s not complete crap - the cost of a bad hire is a lot more than the cost of missing out on a good one.
Working software should be prioritised over rote memorisation of data structure theory.
When I interviewed at Google they asked a lot of (at the time) very specific questions about various languages but only 1 “solve this riddle” type question. It was a pretty good experience.
The best interview I ever did was with an investment bank where I was struggling to whiteboard some problem (after a string of really tough, challenging problems I did well at) and they let me use a terminal to actually code it up (which I managed to do very quickly). I got that offer. ;)