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This is probably a function of the marketplace. Honestly, it is difficult to differentiate yourself as a modern ISP, except price. Most normies are using Gmail or the equivalent instead of POP3/IMAP from their ISP. As a result, ISP has cut-throat pricing that is probably heavily loss-leading. Then they jack up prices and how people are sticky -- don't leave. This outcome still seems better than shitty combined telco.

There was a "cable 2" future where content bundles were going to drive differentiation, but then we got Netflix, Disney and Amazon so that went out of the window. I must admit I can't see any future for consumer ISP's apart from the one that you describe.

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