That's the thing... it's not a simple thing. In theory it is, in practice it is very complex and you've not considered the implications of what you are advocating for.
Monetizing the pipe will screw garage-born innovation and start-ups, completely monopolize the internet. You're asking for Corporations to dictate traffic and that's just wrong, Corporations cannot be trusted with something as ubiquitous as the internet and the flow of digital data.
Yet we trust corporations to handle our power, water, sewer, trash, package delivery, etc. Sure, some places have such utilities run by the government (ditto for internet), your corporate hatred is blinding you from seeing that you are advocating for unequal treatment of a pipe which is not as dissimilar to plenty of others that are already monetized and that you pay for today.
I look at the internet like a public school or library. You don't charge for admittance, only for late fees. The internet should be an open forum, not the exclusive playground of the well off. Those in favor of 'classes of internet access' are oppressors of competition, start-ups, and the poor.
Again, nice in theory... hard in practice.
Who pays for a public school or library? The public... via direct or indirect taxes... so the reason for it being open is pretty clear.
Who pays for fiber to be buried and cable connections to your home? In general... it's not taxes that do it (except for the small fraction who benefit from the Universal Service Fund).
You can make the argument of costs here, costs there,
Which you keep brushing off... so what? They just don't exist? They are unimportant?
but the philosophy is what is at stake and the philosophy is either 1) open, inclusive to all, or 2) monetized for profit and exclusive to those who can pay for the quick responses that a garage start-up will always need in order to succeed.
Call me crazy... but the internet has been working well for quite sometime... and under principals similar to what you describe. There was a time when only the well to do and connected (usually at universities) could get access to the internet... now most ISPs have programs which will hook up poor students for less than the service costs.
If you want to gripe about the existing system and how your alternative system is so much better... fine, at least be specific with specific and real gripes and how your system would fix it... and not end up in a VA like mess which is killing people and at a inflated cost.