If there was any question that the new copyright law will have a significant influence on broadband providers and the spread of broadband, it is gone now.
Here is a recent example.
A major Australian ISP, exetel, has been contacted by an unnamed "legally constituted authority" and ordered to cut bandwidth or delete the acounts of a number of its customers suspected of copyright infringements. exetel responded that it had a warning in its Terms of Service against illegal activity. The unnamed authority's response that that was insufficient.
The customers' accounts were suspended or set to limited bandwidth.
Although exetel informed its customers of the reason for these actions, the customers response was to blame exetel for trying to cut the load on its servers.
One user announced that it was time to "churn" to another ISP after complaining that he and other high volume P2P users paid for the added bandwidth and was one of the most profitable customers. A response was made that many P2P players left their systems on all the time and surreptitiously acted as servers, which was also against the Terms of Service.
A moot point between exetel customers seems to be whether low volume or high volume users are more profitable. exetel is being blamed for using the new copyright regime to rid itself of the high volume users to increase profits. What the real numbers are here may never come out. Some of the comments seem to come from knowledgeable people.
Another exetel customer threatened to send a letter to exetel stating that in limiting or suspending accounts exetel was in breach of contract and its fiduciary responsibilities. How that works out I'm not sure.
Overall, exetel is being blamed for serving its own interests.
