To get a sense of just how expensive even such a limited fiber rollout can be, consider than telecom provider KPN in the Netherlands will expand from 1,350 local exchanges to around 28,000 in order to launch VDSL service. That's a lot of trench digging and cable laying to bring the fiber further into the neighborhood, making this a nontrivial upgrade.
Thats what I call an upgrade... 26k new POPs. I still remember all the trouble it gave the ISP I worked at in 98' to upgrade from 10 to 50 POPs.
oh, the fun.