If a business wants to get "fast lane" access among specific providers, why no co-locate servers at one of that provider's data centers or central offices?
That's exactly what they do. It benefits the ISP because it reduces the data that has to flow across their interconnects, it benefits the provider as they don't need to pay for transit across the internet and it obviously benefits the consumer. The problem Netflix has is that Comcast realizes that it benefits Netflix (plus, they are competing with Netflix) so Comcast said "Yeah, we'll allow you to place caching servers on our network, provided you pay us several million dollars per month". Netflix doesn't really have a choice, Comcast is about half of the US residential internet subscribers.
Comcast's business has long been about selling access to their customers. They sell the service to the customers then they sell the customers to advertisers. They now want to sell their internet customers to providers as well. This is blatant abuse of their monopoly position but since the political system in the US is designed to reward those with the most money nothing all all will come of this, other than the FCC asking Comcast if they should apply lube to the public before Comcast reams them (the answer is "No!").