Actually I don't see this as all bad.
This forum has a very small subset of users that use the internet more than average and a somewhat skewed view of the internet. I'd suggest that the majority of internet users in my experience are perfectly happy with BT Online et al for the web browsing/banking/online shopping day to day tasks.
From my point of view I'd happily pay another 5 or 10 quid a month for a low ping consistent bandwidth managed service that is protected from l33tuser007 downloading "linux distros" all day long either peer to peer or by usernet.
ISPs can't continue to invest in bandwidth at the level they need to subsidise warez or other people’s business models. Why should BBC iPlayer, 4OD, Hulu and the others make money by taking someone else’s infrastructure to its knees without even paying for it?
Virgin Media is a good example, they get a lot of stick but people forget the’ve been bankrupt at least once and still have something like £5billion of debts. This is not the rich, raking it in evil company trying to rip off it’s customers people like to make out. A lot of the other ISPs are in a similar situation, you only have to look at how many well-known names that have vanished (Nildram, Pipex anyone?) over recent years to see domestic internet provision is not a license to print money
People seem to think free, unlimited as much as you can (ab)use internet is a right that has always been. Don’t forget that until ~10 years ago that although the "net" was free you paid not only for your subscription (AOL, Compuserve, Demon etc) you paid by the minute for modem dial up or broadband by the mb.
Unfortunately greed has come home to roost, greed of the few who think that a 50mb connection means they should download "linux distros" 24x7 maxing the through put all the time. Business like Google make billions in profits on the basis that someone else (the ISPs) pays for the infrastructure to deliver their increasing services, for free.
It's not a sustainable model. The ISPs are all looking at each other waiting for the first to go down the managed traffic route and it's coming soon like it or not.
For a few years we've had an open flat rate internet unmanaged and neutral in its delivery and frankly it was a beautiful thing. People took the **** and so the ISPs are pushing back and we'll start to see a service based on the postal service - are you sending that first or second class sir? And to be fair, relatively low bandwidth, high contention service will suit the majority of people for email/web/banking/online shopping etc just fine...
The ISPs that find the right mix of service and cost will do good business and to be fair I don’t see that they should be any different from any other commercial business. You get what you pay for. The internet culture that everything should be free or flat rate just isn’t sustainable (unless that flat rate is a lot higher than it is now).
Not a popular view I know but I tend to think it’s realistic…