I don't think he was cut "too short" per say, but I doubt he had to be cut that short just because of matting. a good groomer should be able to work the matts enough that you can use a longer blade on them (unless he was severely matted to the skin....then you have to be careful with the dematting tools). If he was matted that badly, then shaving him close might have been the only safe solution.
I would just suggest maybe letting him grow out for a while. If you want a short puppy cut but not that short, I would tell them to use a 5/8 comb or a #3 blade. That will leave him a little bit of hair but leave it very manageable. It looks like his hair grows pretty slow so that length should be pretty good for you.
just be careful when you use the phrase "puppy cut" because that is a very broad phrase. you should make sure you know the length that you want. 1/2" to 3/4 " is most popular for the yorkies.
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