It's not often that either ISP does the right thing, but this time they are. Let's not kid ourselves into thinking they're doing it because they like their customers because if they did, they would bring their prices and services down to industrialized world standards. It's also doubtful that they care much about privacy, but if that's the line they want to try, go for it.
Since they're now looking at tiered pricing models, they probably even like file-sharing if that helps them get customers paying more. In all likelihood, the larger issue for the ISPs is that the monitoring cuts into their otherwise highly profitable business model. Where else can you have such little competition, the ability to deliver a sub-standard product and charge huge fees?
If you remove the time consuming RIAA and MPAA lawsuits, life is pretty good for US ISPs. ExtraTorrent has more:
Earlier, the ISP complied with all the subpoenas, but now gave up and told the Illinois District court that it wants them quashed. First of all, the Internet service provider claimed that the court didn’t even have jurisdiction over some of the defendants, since those didn’t reside in the district where they were being sued. In addition, the company argued that the rights owners had no grounds to join this bunch of the defendants in a single lawsuit. The claims were that the copyright holders were exploiting the court in order to force defendants into paying settlements.