I'm not convinced by this assumption as i've seen contrary evidence. I've seen monopolies doing a great job, and i've seen competition destroy quality of service and price.
I would agree that the government needs to mitigate private actors. This regulation can take the form of splitting a monopoly but it can also take the form of keeping it a monopoly and regulating it by having a presence on the Board or through law.
The idea that we need multiple groups of people working on solving the same goal concurrently doesn't strike me of a one-size-fits-all approach. Multiple competing restaurants in a town is probably the way to go. Having virtual operators on the back of one physical infra as is the case with phone carriers for instance I would say is probably causing lots of overheads. I've seen it first hand from the inside. Turns out it's really complex to virtualize infra and have tenant-based billing. The only real difference is now you have 5 companies competing on marketing and offers on top of the same physical reality. Marketing costs can't vanish so the consumer is losing that money one way or another