@Oliver Jones
Hm... nice for kicking on online gaming, but you know ... gaming isn't the only thing that uses incoming connections, or UDP.
Point in case: VPNs. Blanket dropping of all incoming connections and UDP effectively kills any VPN entry point, and well VPN endpoints actually require UDP (not TCP) traffic these days.
Cable internet operators nationwide (this is Mexico) use NAT, so every single cable internet subscriber has a private IP (the standard class A private network 10.0.0.0/8 range is their favorite) which means they can't play games with non-cable users (if they're hosting), and well with some recent portblocking and traffic shaping that went into effect around mid-2007, p2p is practically dead.
Telmex's ADSL service, on the other hand, has been stable for some time now, with 1Mbit for residential (and REAL 1Mbit: 1024Kbps) while having 2Mbit and 4Mbit options for commercial lines. I get a real, public and routeable IP, no firewalls, proxies or anything else. Somehow I'd think it would be easier for other telecom giants to be able to provide something like this in the US, UK and similar places.
Wasn't one of the major reasons behind the dot-com crash the "overexpansion" of backbones over what was really needed? I remember reading something like that, and asking "Gee, if that's true, why do I still have to pay $300/month for a DS0 link?". While most web-surfing wasn't that demanding, my Quake, Quake2 and TeamFortress needs were complaining about 400+ms pings, and the term "LPB" was fairly common. Remember that??? So surely, if you believe that crap, telecoms should have all the backbone they need for the next 10 years (back in 2000, they said 20 years, didn't they??)