There were still vertical games, though most, if not all, were shmups.
If you're talking platform/labyrinth style games, I think that went away across the board when graphics started to improve and made way for puzzle, side scrolling, fighters, etc. type games that were much more popular and high in earnings in the 90s up to present day. Hence, the big boom of conversion kits and cabs that we see all over the place.
Even now, platformers are usually 3D style. Classic 2D style games are best suited for mobile gaming and console online store markets. As we all know, arcades nowadays only have gun games, drivers, redemption and multicades.
In short, technology and the advancement of the home console led to the downfall of arcades and the classic vertical platform/labyrinth style arcade games went down with it.