Commodization: Software or bandwidth

Jonathan Schwartz offers this interesting perspective on commodization: "what's really commoditizing? Bandwidth. Not software, not hardware, bandwidth. It's coming out of the wall in your house and office, just like a three prong outlet provides another commodity, electricity (and broadband, soon enough)." Agreed, bandwidth is a commodity. Rather, I think it is best construed as a utility. But software? Are we confounding standards and commodization, and the relation between them? Or have I missed Jonathan's point?