Think they've got it wrong
Facebook, Bebo et al don't require much bandwidth. In fact a 3G connection provides enough bandwidth for that. iPlayer and Bittorrent are the sorts of things you need superfast broadband for.
But I do agree on the competition aspect. I got a letter from BT a couple of days ago saying BT Infinity is now available in my street. I won't be signing up because it is BT that is providing it. If my existing ADSL provider were to offer the service, I might be tempted.