houses and settlements will be spread so thinly that becomes impossible for city goverments to provide “infrastructure” without providing it at a loss

That’s been proven wrong by history. Population density was far lower 150 years ago and there was no problem with infrastructure despite everyone being more spread out before urbanization. Really spread out requires even less infrastructure today. Everyone in my neighborhood is on 3+ acres so water is from self maintained wells (private paid to install and replace every 20 years) and many have solar.