Well, they have good reason to be scared of being declared the utility thing, and this goes well beyond forced net neutrality.
I recall way back when the Clintons tried Government Health Care 1.0. Eventually, at one point, the insurance companies threw up their hands as a last defense and said, "Fuck it. We'll just cover everybody at our own cost." This wasn't good enough, of course, because the goal wasn't universal coverage, but universal government coverage.
But that's an aside. Here, being a utility means ultimately becoming more like a water or gas or electrical company, with even less competition than now, and then service quality and rates become a game between their lobbyists and the politicians, where they whine they need an increase, slacking off, and the politicians play a game between believing it so they approve the increase, and their own political base, who wants no increase at all because democratic threat.
That's a whole different corporate world and game to play. Companies can play it, but it cuts profits way, way down from a freewheeling bleeding edge high tech.
I am for net neutrality ("You agreed to participate in this common pure data transmission service called The Internet without subverting and perverting it.") but declaring it a utility? Oh god hell god fucking god no.
I has a major sad if that's what it takes to get the laws done. (We'll leave for the moment the disturbing constitutional improprieties philosophically of such massive changes being done via a regulatory agency fiat rather than directly by Congress.)