This used to be the standard when clients used to connect directly to the database. Now that the world depends on web services, things are a little different and there's less incentive to maintain stored procs as an interface to your database.
It's still a good idea though, with unparalleled performance. I suppose developers don't do it for a variety of reasons: They may lack the SQL knowledge, they may not want to maintain the extra code, they may fantasize about database portability, etc.