Someone else with more experience could chime in but I would put it at less practical due to latency (sats are very high up), bandwidth (one laser vs a bundle of 1000s of fiber optic cables), cost (to overcome latency you need a closer orbit which requires more sats), single point of failure, lifespan, intercepted communications, solar flares… and that’s just off the top of my head.
latency lower for satellites, trading firms have looked at this already, no idea if anyone has actually done it
bandwidth would indeed be worse
starlink sats are some of the lowest orbiting satellites in space - 330-370km for v3. this helps latency as well as easy deorbit at end of life. the v3 sats have multiple 400 gbps lasers for meshing... I can't decide if your comment is sarcasm or not actually because starlink is fully functional and doesn't have any of those issues
I don't actually think latency would be that much worse.
Of course, it depends on the altitude of the satellite but speed of light in a fiber optic is only ~2/3rds of speed of light in a vacuum so you can afford some detour