Competition and access
In my community there were 1 or two providers depending on where you lived. Almost everyone could get DSL from the telco,
but the cable company only served the densest (and most profitable neighborhhod. The city wanted to improve broadband
service throughout, but the carriers had no interest in universal service. So the city utility department rolled out fibre to the home, competing directly with the telco and cable. It had to fight well funded battles in the legislature where the cable company didn't want any municipal
competition (while refusing to provide service in all areas of town.) The city decided to provide the service, including premium service for business with fiber to the end user available everywhere within its jurisdiction.
The result, a thrird provider, improved service, more competition, and lower prices. I do not forsee the municipal utility restricting the content providers, but there are several tiers of increasing bandwidth available, with even the slowest one sufficient for video streaming.