When I was wrapping up my Master's and various professors were trying to convince me to stay for a PhD (CS), I definitely sensed them having this point of view.

I don't necessarily think that profs will see someone going to industry as a failure, but it is a loss. If someone a prof supervises goes on to a tenure track position, they become a long-term colleague and demonstrates the influence they have on Academia. A portfolio of grad students who went on to be captains of industry isn't as academically sexy as ones who all have long publication lists.