Ireland is the first country in the world where a system of “graduated response” is being put in place. Under the pilot scheme, Eircom customers who illegally share copyrighted music will get three warnings before having their broadband service cut off for a year.
The Irish Recorded Music Association (Irma), whose members include EMI, Sony, Universal and Warner, reached an out-of-court settlement with Eircom in February 2009 under which the telecoms company agreed to introduce such a system for its 750,000 broadband users.
I always enjoy when other countries decide to screw with their critical structure so we don't have to.
I anticipate this system will be hideously expensive to Eircom and piss off customers. Especially problematic is that it requires no proof of infringement. It merely requires some bot to make an accusation to Eircom. Leaving aside questions of fair use and honest disputes about license terms, the IP Mafia never contemplates that false positives are a real problem or worry about how to address false positives.
I'll also note that Eircom's 750K customers is tiny compared to the major ISPs in the U.S. so to figure the problems of implementation for the U.S. market, don't forget to scale up.