Regulating the Internet "Like a Utility" Won't Yield an Open Internet
Many of the millions of comments in the net neutrality proceeding, urge the FCC to impose net neutrality rules by regulating the Internet "like a utility." It won't work. Simply reclassifying ISPs as (Title II) common carriers will trigger a vast flood of litigation, but bring little relief to consumers who simply want unfettered access to the Internet. We can't find a way to write a net neutrality rule in a manageable number of words, and still leave only minimal discretion to the ISP. An ISP with a good lawyer - and they all have good lawyers - could plausibly argue that the rule allows almost any activity at all.
There is a way to solve this problem: a rule that requires the ISP to open its channels (cable or phone line or fiber) to competing ISPs. Under this approach, a consumer dissatisfied with the performance of one ISP could easily switch to another with no change to the household wiring - an impossibility in today's system. We know this approach works because it did work, very well, all through the Internet's dial-up days. A set of FCC rules called Computer III required just the kind of shared access to those lines that we propose here. That is the only practical way to bring about net neutrality.
In the early 2000s, following the advent of broadband, the FCC made a colossal two-part error. First, it declined to apply Title II and Computer III shared access requirements to cable broadband delivery. Second, a few years later, it removed those same existing requirements from telephone company DSL broadband. The result today is Internet monopolies, or duopolies at best, in nearly every U.S. market.
http://www.commlawblog.com/2014/10/articles/internet/regulating-the-internet-like-a-utility-wont-yield-an-open-internet-unless-/
There is a way to solve this problem: a rule that requires the ISP to open its channels (cable or phone line or fiber) to competing ISPs. Under this approach, a consumer dissatisfied with the performance of one ISP could easily switch to another with no change to the household wiring - an impossibility in today's system. We know this approach works because it did work, very well, all through the Internet's dial-up days. A set of FCC rules called Computer III required just the kind of shared access to those lines that we propose here. That is the only practical way to bring about net neutrality.
In the early 2000s, following the advent of broadband, the FCC made a colossal two-part error. First, it declined to apply Title II and Computer III shared access requirements to cable broadband delivery. Second, a few years later, it removed those same existing requirements from telephone company DSL broadband. The result today is Internet monopolies, or duopolies at best, in nearly every U.S. market.
http://www.commlawblog.com/2014/10/articles/internet/regulating-the-internet-like-a-utility-wont-yield-an-open-internet-unless-/
As far as who ran what, cable companies got government granted benefits, in the form of monopoly/franchise rights, eminent domain and right-of-way access. They've really had just as much help from the government as telcos when they built-out the POTS, DSL and fiber infrastructure.
Remember, as mentioned, DSL was originally open access, too. You could have Earthlink as your DSL provider, just as easily as Verizon/ATT/etc. That is why SBC (now ATT) DSL was $15/month while cable internet was still usually $50/month. SBC had to directly compete with 3rd party ISPs (like Earthlink) offering DSL over SBC's own lines, and they drove the price down in order to get those customers. It was only a mid-2000s FCC rule change that allowed them to lock things up all over again, after-the-fact.
Finally, cable companies wouldn't be asked to give away their lines for free if the rules were changed... They'd still be charging ISPs a reasonable connection fee and line service/maintenance charges. The cable companies can still continue to provide their own internet service directly, too. They just wouldn't be able use their monopoly to FORCE vertical integration of all their services upon their customers. Would it be okay if cable companies took it a step further, blocked Netflix and Magic Jack, and only allowed their own streaming video and VoIP service to travel over the internet service they provide? Would the fact that they built it out be sufficient justification for their desire to make more money at their customers' expense? It's shades of the same issue.
And did you notice that Time Warner, who has to compete with Earthlink, is among the only ISPs with low-priced internet service plans? You can get internet service from them for $15. Charter doesn't offer anything under $40. Comcast's lowest tier is $40. Cox starts at $48. I'm specifically excluding 12/24-month contract promotional prices for new customers.