In reply to:
1 street at a time you do everything gas, water, electric, telephone (not just bt).
A nice idea in theory; in practice much more difficult to achieve. For one thing, you need to co-ordinate the plans for several different utility companies (and even for telecoms just think how many providers might want to place their own cables/ducts in the ground!), not to mention that each of these utilities will have differing priorities and different investment programmes.
In reply to:
The main cost seems to come from digging up the road, but if more than one company is doing this the cost would come down.
It's true that the main cost of laying a duct tends to be the civils, but as to whether the cost reduction would be that significant is another matter. The road might have to be closed for longer for example, since each utility won't be able to work in the road at the same time (I wouldn't much fancy trying to lay gas, water and electricity all at the same time).
In reply to:
our infrastructure is pretty crappy compared to japan and others.
As has been mentioned elsewhere (perhaps another thread?) one of the reasons for this is that many countries have had to significantly rebuild their infrastructures post-war. There are also significant differences in the population densities which contribute to how easy or difficult it is to provide high-speed technologies. Japan (taking your example) has a much higher population density that the UK, which means that a larger percentage of the population can be served easily with copper or fibre (much more effective to run fibre into a building that may have 100+ individuals living in it that fibre to homes in the UK where the average occupancy would be much less, say 4 or 5 individuals*). It also means that distances to exchanges and the like are much shorter and more likely to be within the performance limits of technologies such as ADSL.
* - not sure what the average occupancy is in the UK but the point remains that it will be a low figure in comparison to countries such as Japan.