It ain't what you don't know that gets you into trouble, but what you know that ain't so. (Attributed, probably wrongly, to Samuel Clemens, AKA Mark Twain).
For various reasons, US internet service may be poor in places, but arguably does not rate that badly. US average connect speed (12.6 Mbit/sec) ranks about 14, roughly midway between Germany and Denmark; peak speed (,57.3 Mbit/sec) ranks about 16; and for connections better than 15 Mbits/second (24%) the rank is about 15 (full confession: based on Akamai reports for the third quarter of 2015 as reported by Wikipedia). That puts the US generally in the same group as much of Europe + Canada, and well ahead (for example) of Australia, New Zealand, and France. It could be better, and in many places is, but certainly does not qualify as "dismal" (or even abysmal) as it is.
The state of internet service in the US also is not a result of market failure. In many areas, possibly most, it results from lack of or severe restriction of the potential market, as Google's entry into several areas has shown by inducing existing providers like Comcast and at&t to improve service and reduce prices in some combination.
My own experience, first with Cox and lately with Comcast, has been of increasing speed over time (measured courtesy of ookla) at nearly constant price over a period of about ten years. The outlier was at&t, which failed to match Cox (as promised) albeit at a lower price. This, of course, is to be expected as a result of normal equipment replacement where the new equipment is inherently better than what is replaced due to general technology improvement.