I think that's the worst part about Google's hiring practices. You nail the 5 interviews, pass the hiring committee, the executive committee, talk to teams and then someone finally tells you "we don't have any position for you, sorry". A very standardized process isn't always a good thing, not everyone is an interchangeable cog, fresh out of college.
True, their hiring process is data driven (like everything else) so it must be rare.
But it's not the first time I hear such story and I'm sure it must leave a pretty bad taste in your mouth. Nothing similar happens in Amazon, Microsoft, Facebook, Apple... AFAIK.