Re: I am not sure that I am with the ISP in this case
Once you have the traffic on your network, it's not an issue. The reason ISPs like Verizon don't like it is because the offset of data coming in to data going out on those links is very lopsided, and that messes up transit agreements and costing.
A balanced link from one ISP to another is consider a wash financially - both sides have equal skin in the game so it's in everyone's interest to keep the data flowing. With (for example) cogent's link to verizon sending 10 times as much to Verizon than it gets back from them, it means that one side has more power than the other, and you're seeing Verizon throw it around. Is that a good thing for the net? Of course not, but it makes Verizon subscribers more likely to give in and get pay-per-view from them instead of getting the same movie from netflix.
Lately, I've been using itunes rentals a lot more for PPV stuff - it costs a buck less than my ISP charges, and because it's downloaded instead of streamed, you get a much better viewing experience all around if bandwidth is an issue. I would really like to see Netflix switch to an expiring-download model for their net-viewable content - it would be no less secure than a stream (i.e. neither is secure at all if you know what you're doing and are determined to snag a copy), it would stop a lot of these problems, and the viewing experience would be better.
Netflix's software is really infuriating in how it buffers - even if you purposely pause the video to let it build up some content, at some point it will throw the buffer on the floor anyway. Just give us the option to let the whole bar fill if we want!