I’d also add that competing with the likes of Comcast and Verizon could be very profitable in the long term. I don’t think we need to assume it doesn’t serve its own obvious purpose of being th first big step in getting that sweet ISP money.
Edit api: It makes sense for a lot of things that a demand actually exists for, like heavy loads, launching a number of different contracts in one reusable rocket to save on overhead, defense contracts, and more. Those will actually make them money, and are all technically feasible today.