I would have a hard time believing that they are NOT looking to compete directly with us (actual information services); considering the massive advantages they are technically capable of providing their own hypothetical services while they own the pipes. I imagine they won't do a very good job of it, considering how easily they can throttle, manipulate packets of, introduce latency to, and just plain break competition (or anything they don't like). Or they'll just take the easy route and tax both ends and sell your personal information to advertisers.
Dystopian future, here we come!
The only silver lining I can imagine is that we may get LAN parties back. I miss LAN parties. Everything else about this very likely version of the future is pretty depressing.
Maybe next the water companies will lobby not to be utilities anymore and provide clean, and mostly clean water. $20 premium for water guaranteed not to cause brain-damage.