I think some people like this because it pushes libertarian "no need for environmental or regulatory review" buttons. There's a kernel of a valid argument there, but it seems overstated given that companies seem to have little trouble getting approval for big datacenter buildouts here on earth.
There's also the coolness factor, I guess.
But why does no one talk about launching RackSpace servers into space? I think the whole thing is tied to AI because of the hype, not because sending servers into space has any kind of material advantages.