Most flights I've been on in the last decade, you don't want to leave your seat for anything except a bathroom break. It's not like we're flying on Pan Am Clippers with pianos and seven course meals. Air travel is a glorified cattle car unless you're willing to be financially raped for first class or a chartered jet.
I think one advantage of air travel is it's distracting. Busy flight attendants, announcements from pilots, plane moving to the runway, taking off... so there's less reason to concentrate on the lack of space while stuck in the seat.
Are you? I wouldn't rule it out, but personally I think getting an outside signal into a sealed capsule which is moving so rapidly that it must use battery power rather than a physically connected power source seems more than trivial.
The hop between two major cities where I live (~800km apart) takes around 50 minutes on a plane. For 15 minutes you can't get up, and for the remainder low altitudes keep the seatbelt sign on due to turbulence.
For the advantage of a short journey people will put up with it, especially if it can get you to the centre of the city rather than an airport on the outskirts.
I'd rather be stuck in my seat for 35 minutes than to travel to an airport, go through security, check-in, waiting and boarding, fly for 90 minutes and then apply all the logistics in the other end. Your point is valid, but I would contend that the total package is still superior.