Just dealt with this. I'm square in suburb America. AT&T in my community can't run lines into established neighborhoods because they can't use existing conduits. They have to dig their own, but local regulations make it difficult and a lengthy process. Easier for companies to just give up and move on. Who's fault does your smell test point to?
It's illegal in many states for the local municipality to do it. Here it's the norm, so our local power companies put down fiber when do power or other utilities.