This list of things telco monopolies see as competition is nicely summarized by the blue part of this picture :
http://toddbell.org/wp-content/uploads/2010/04/Earthrise.jpg
And they're getting really suspicious about the grey parts in the bottom too. Better safe than sorry, right ?
So they've never actually browsed Netflix's offering then, huh? Because it's hardly stellar or offers much in the way big-ticket items that compete with anything Comcast shows in their on-demand or via cable channels.