The article describes it like they are throwing satellites into orbit. In reality even the far fetched plan, is to throw a small rocket into high altitude to save money on the first stage. Then the rocket is what will put the satellite in orbit.
I can't find a single reference to this agreement (yet) in any NASA official site. Not saying it's not real, just that I can't find an official NASA reference yet. It's not yet listed here under the current available ongoing agreements:
"Current Space Act Agreements"
"Spinlaunch Feasibility Analysis":
https://colab.research.google.com/gist/jeff-hemingway/a3d322...
Edit: The HARP project is also mentioned in the analysis as a comparison.
The real question is what kind of mass fraction is sacrificed to build something to survive being spun up.
As to why not use a gun, barrel damage is probably a deal killer for Quicklaunch and other such designs. Quickly spinning something in a vacuum and letting go should allow for launches roughly as fast as you can pull vacuum. Supporting something like a Starlink constellation seems possible with their design which could be incredibly profitable.
As for barrel wear...it's possible that that would be higher than for a normal gun, but I'm pretty sure that the rather famous author of that design took that into consideration. (It doesn't seem like SpinLaunch's design is immune to firing wear either, considering the sudden rush of air into a space with hypersonic machinery in motion.)
Starlink’s shape is optimized for it’s launch system, while I doubt spaceX is going to use a competitor anytime soon they would seriously consider sufficient cost savings.
I don't think Quicklaunch would have to suffer significant barrel damage, maybe some fouling that can be cleaned off. The pressures and temperatures required are pretty low, and the required chemistries are pretty tame; it's just the velocities that are high.
“This test accelerator is 108 ft (33 m) in diameter, which makes it a one-third scale of the operational system that is being designed.”