As if an ISP filtering what content gets to you wasn't enough, Cary Sherman of the infamous RIAA says that the only way to really defeat piracy is via a client-side monitoring service, much like an anti-virus client, except more like spyware. He says that the current problem that ISPs are facing with server-side filtering is encrypted content, which can be read only by the server it comes from, and the client receiving it. So, his solution is to wait until the content is decrypted, after it reaches the client.
Even he realizes some of the issues here: just why would a potential pirate want this software monitoring their actions? The answer is pretty obvious: they wouldn't. But he suggests that if users were simply notified that what they were doing was illegal, they might just stop. He also thinks that ISPs could start including the filter on the modems they ship to their customers.