Would all of those service providers be rewiring the building at the same time? Wouldn't it actually take months to install all the additional cabling needed? What happens when a 6th, 7th or 8th provider pops up. That's just one apartment building.
What happens when xyz start up wants to dig up a whole neighborhood to put their data cables in. Then a month later a new startup that promises to give you a better experience comes in and rips up the road. What happens when xyz start up fails and the half finished project just sits there? Do the tax payers pay to fix it?