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What keeps Internet service providers from being responsible for, and perhaps prosecuted for, the content trafficked over their networks is a provision of a law that Web advocates ironically opposed while it was being argued in 1998: the Digital Millennium Copyright Act. As long as ISPs do not take interest in the nature or technical breakdown of that content, then its creators and publishers can't hold them liable for intellectual property theft - this is the "safe harbor" provision.
That law isn't going away any time soon. Meanwhile, the recording and publishing industries - stymied by the ineffectiveness of prosecuting individual IP violators - know that the ISP is the one remaining place where they can attack the problem of IP theft. (Certainly they can't prosecute themselves and their own partners for ineffective security.)
We do this dance at least twice a year now, and we're starting to get the steps so well memorized that once we hear the familiar tune, we start stepping to the beat without a moment's thought. It's the Anti-piracy Shuffle, and one defining element of its choreography is that we always end up right where we started.
Here's how it goes: You can't run an Internet server that trafficks in illicit content to American clients, from American soil, without violating American law. Makes sense. The magic of the Internet lets someone in America run a server in another country, whose domain may be registered in yet another country, that sends illicit content to American downloaders. It's impossible to prosecute one downloader without prosecuting all of them, otherwise you run into the selective prosecution defense.