A problem everbody would love to have but pretty much nobody actually has.
Except the people who do have it and need to keep their business running off of one postgres instance.
It's usually not that data doesn't fit on one machine but that load on the database exceeds what one machine can serve. A failover configuration might enable you to use the spares for some read operations and take a little load of the primary, but you lose ACID semantics when you do that and it generally doesn't help you for long.
a) At some point you will have more data or more users than one instance can handle. And instead of simply adding another node you need to throttle usage in order to do a rolling upgrade. Which is far easier said than done and involves impact to the business.
b) With distributed databases you are constantly testing that everything works in Dev, Test etc environments. With failover you really only test it every now and again usually before you deploy to Production. And in most companies which are hopeless the testing will be guaranteed to be inadequate.
c) Vendors lie. They promise that failover will just work but in my experience it very often doesn't. Which is another reason why b) is such important to validate their claims.
For example, at one place just over a year ago they were well into this territory. One of weird problems for them was with pgBadger's memory usage (https://github.com/darold/pgbadger). That's written in perl, which doesn't seem to do garbage collection well. So even on a reporting node with a few hundred GB's of ram, it could take more than 24 hours to do a "monthly" reporting run to analyse PG usage for the time period.
There wasn't a solution in place at the time I left, so they're probably still having the issue... ;)
It's not for scalability reasons it's for high-availability.
Which as cloud adoption has increased and server uptime has decreased is even more important.
Anyone with dogmatic opinions about this stuff need to be taken with a grain of salt. If you scale out PeopleSoft, your accounting system will exceed the value of your company. If you’re worried about webscaling your random app, that’s more wasting time navel gazing than accomplishing anything! :)