Microsoft offering xDSL access

Deepak Jain said once upon a time:

UUNET doesn't own dedicated single-circuit copper to people's houses.

Okay, now lets talk about a wide-scale xDSL implementation using a
reasonably well known POP architecture like UUNet's.

If xDSL can only run about 18kft end-to-end, to service a wide metro area
like Washington, D.C. one would either have to have a POP within every 6
mile radius (fed by conventional circuits) or backhaul the data (by
conventional circuit) to their POP.

Is this correct, if not, what am I missing?

The fact that phone companies like US West are tying the local loop DSL
circuits into their ATM network. All UUnet or another provider needs to do
to provide DSL service is be tied into the same ATM network.