People are too afraid of breaking the law. Look at every multi billion dollar company - all of them got where they are by breaking the law. How's it going to look in front of a jury when the government says "this man illegally brought cheap and fast internet to a neighbourhood?" The companies don't even have narratives that nice.

Even YC startups are encouraged to break the laws. The key is knowing which laws you can break, how much you can break them, and what's likely to happen if you're caught. When an illegal good thing is caught, the response is usually to slap on the wrist and legalise it.

A lot of current ISPs did start out illegally too.

Don't splice into other people's fibers though. That's a much worse crime of property damage.