I agree that the lack of consumer choice is definitely to blame for this. I also think declaring ISPs as common carriers would keep the net neutrality we always had for years without government stating ISPs must treat packets equally regardless of sender.
This was my letter to the FCC during the net neutrality public comment period:
As long as telecommunication companies have a fiduciary responsibility to maximize the return on the investment entrusted to them by their shareholders, they have no choice but to shape the direction of the internet in ways that will do so. Market forces that can often help keep that responsibility in check with the best interests of the public at large are absent in telecommunications, as most of these companies, and certainly the largest of them, enjoy little to no competition in the areas they serve. Even in markets that have more than two telecommunication providers to choose from, there is very little in the way of competitive behavior. While this may smack of collusion, the obvious truth is that none of these incumbent providers wish to engage in an expensive price war that races to the bottom, and a services war that races to the top. They are able to avoid competitive practices in the absence of pressure from start-ups or municipally-operated internet service.
Access to the internet is now a part of modern life in the United States of America. It is used to find a job, get an education, select and consume goods and services, and above all...communicate with others and our government. The fact that this very letter is available to those members of the FCC who are inclined to read it, along with countless other U.S. citizens, is made possible by the internet.
And that internet, which has created jobs and wealth from within our borders and without, has succeeded and thrived under the unspoken principle that all data regardless of its nature or point of origin will be delivered uninhibited to its intended recipient. This unspoken principle is of course, Net Neutrality. Some of our members of congress, well-meaning though they may be, are under the mistaken belief that Net Neutrality is a new idea. In fact, the internet has been neutral since its inception. Given its unprecedented and inarguable success, supporters of Net Neutrality simply wish to keep the internet the way it is and always has been.
Internet service providers state that senders of large amounts of data, like Netflix, place an undue burden on their systems and the only way to recoup the cost to deliver that data is to charge a higher amount for what they call an “internet fast-lane”. Pricing structures are already in place though to deal with the sending and consumption of large amounts of data however, without the need to discriminate. Netflix pays for the data it uploads on a megabit per second (Mbps or bitrate) basis during peak times, and even distributes video at lower quality for those ISPs unable to deliver video at the higher bitrates. Consumers also have the option pay extra to the internet service providers to deliver data at higher bitrates, and often do. These are marketed and sold under package names like Blast, Turbo, or simply High Speed. So Netflix and the like already pay more for higher bitrates, and consumers already pay more for higher bitrates. What the telecommunications industry is doing with “internet fast-lanes” is clearly double-dipping.
Reclassifying internet service providers as common-carriers solves these problems. It will increase competition by lowering the bar to entry for newcomers looking to focus on delivering the best service at lowest price. It will make internet access more affordable to more Americans for their daily basic needs, and bringing the speed and price of that service on par with other nations of the world. It engenders the long-held principle that data should not be discriminated against based on content or sender by creating a barrier between the creator of that data and the transport and delivery of that data. This allows for the continued growth in the technology sector, and fosters innovation by small businesses that may one day become the next Facebook, Google, or Netflix.