You see, I’m originally from Latvia. And back there only major bus and train routes are operated by the state. All the smaller and inter city routes are operated by private companies, sometimes at a loss. And sometimes cheaper than tax funded services.
But there’s another example - private train companies across the EU. Just check some basic routes like Verona to Venezia or Barcelona to Madrid and you’ll see that all the cheaper options are from private companies.
The state-run services are never cheap (even when tax funded), never modern and never reliable. It’s just the way public transport works.