For small scale energy production small VAWTs [0] are relatively cheap, they offer more W/m2, and they are much more easily serviceable and installable.
For large scale production it's orders of magnitude less efficient, plus having multiple kites on the same plane brings in the wake effect [1] in full force. That's why regular turbines are generally laid in lines rather than wide surfaces, or with significant separation between them.
[0] https://en.wikipedia.org/wiki/Vertical-axis_wind_turbine
Higher winds are much more stable. Both in having less completely still days, and having the median be much closer to the maximum. A wind turbine that is built big enough starts having a large part of it outbut be effectively baseload instead of intermittent, and as more renewables are built out, baseload capacity is increasingly more valuable than intermittent.
[1] https://youtu.be/qd_hEja6bzE?t=392
Regarding the size x quantity, I believe the reason lies in where the best wind is, which is usually high above the ground. The roughness of the terrain and obstacles generate shear and turbulence, which translates into more stress for the components. The higher wind has a more uniform distribution across the rotor and is higher in magnitude than in lower heights. So for small wind turbines to have access to the best wind, you would have to build expensive structures to reach there, making it infeasible. Hence kite approaches like the one posted and Makani (with different principles).
1.5KW is nice but guaranteed 30mph constant wind?