So I noted with interest this study that shows that while 3/4ths of respondents say they are "satisfied" or "very satisfied" with their broadband service, 3/4ths (I don't know the overlap) say they would switch providers for better prices or better service except that switching is too much of a pain in the neck. i.e., in econ speak, the switching cost is significant and therefore acts as a serious damper on competition.
The apparent disconnect between the number of respondents saying they are "satisfied" or "very satisfied" and the number saying they would consider switching is explainable in a number of ways. My personal feeling is that it is best exemplified by the old saying "if your expectations are low enough, you're not disappointed." I am satisfied with crappy services if I have no reasonable expectation of better service, and I am satisfied with overpriced service if I have no reasonable expectation of lower prices. In a genuinely competitive market, providers offer better service and lower prices -- at least that is the theory. So the failure of better service/lower cost ISPs in the face of 3/4ths saying they would switch for such a package needs to be explained by something. I conclude that one major contributing factor is switching costs.
I also conclude that the vast majority of economists in DC policy land do not get out much, and that many of them have excellent broadband.