My understanding is that Google has already invested $1bn in the this tech with SpaceX. SpaceX's current $500m raise is for deploying this tech. You may be aware that Google has a had a bit of trouble with its ISP roll out using small cells and fibre. This system would allow direct last mile access.

However this approach only makes financial sense for SpaceX because of it's much cheaper access to space so it's not surprising that "no one else in the industry" thinks it's a good idea. It's not a good idea for them.