While I think pipes owned by the people and leased to private ISPs is a very interesting solution, I don't think it would fly with the zero-government crowd.
what I don't understand about these people is that they must recognise that comcast essentially functions the same way the dreaded government does. They are just as large, they are just as organised and powerful. But in contrast to the government there is not even a democratic check and balance, and an explicit profit motive.
I would assume someone who likes the 'market' part in 'free market' recognises that a single giant corporate entity is not very market like at all
There is a matter of unfair competition, as the state can run any service at a loss forever.
In the moral sense, you've been ripped off if that happens and you have no recourse, and the only thing that was maximized was the good of the public servant, not of the public.
Lets not forget that the monopoly cable and internet companies have has a huge collaboration from the State itself.