I generally agree with the sentiment (and yes, internet should be treated as an utility). However, the reality is that the vast majority of people will not be able to self-host on their own hardware for a myriad of reasons (lack of skill, lack of money, lack of interest, etc.) That's not a reason to gatekeep them from having their own corner and claim it as theirs.

If you have a domain and your own site, even hosted on a colocated rack or in the cloud, you're already miles ahead of those that don't. And if you have a domain and can manage DNS records, then in the future that doesn't preclude you from "graduating" to your own hardware, if you so desire. The goal here is more or less self-sufficiency with web properties rather than a pure interpretation of "rent" vs. "own." Because at some point you have to rent something from someone (say, you're not running your own domain registry and registrar).