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As mentioned in their writeup, they are following documentation and best practices from Google themselves.

That trick with service accounts is how every ETL provider loads data into their customers' data lakes, isn't it?

Setting up ETL pipelines is for highly technical users. Using SSLMate as described was something that was considerably easier.

Ideally after first ticket support could flag their account as needing manual review for suspension

This seems like the easiest fix.

But it adds a human interaction and that costs money so… no! Suspend.

Sounds like they do have human interaction already, since the suspended emails need to email customer support to get unsuspended.

At a guess that makes the account a net loss for Google.

Their support reps would have to be paid thousands per hour for that to be the possible reason

This is actually a very common use case.