The residential proxies are not offered by ISPs but by world-wide users (knowingly or not) installing dubious software in exchange for access / pennies / whatever. There was a pretty good article about it a while ago on hn.
You would end up blocking every network then. Almost no one wants malware on their machine or network. Unfortunately, people get hacked and network operators cannot always determine which machines are hacked (hackers are not known for letting people know that they have taken over a machine).
Security is hard and there are no easy solutions. People often do not know they have been hacked or even know if a computer on their network has been hacked. Also, it is often not easy to determine if traffic is legitimate, illegal, malicious, or abusive.
hmm, might as well extend this hypothetical a bit more... Epic would argue Apple as a whole is malware, and therefore all networks with apple devices on them are malware, block them all?
it does not work that way. the open internet goal is to be open. "AI" is generally meant to be intelligent, indistinguishable to humans; we created the problem for ourselves, dismissing so many (back then, and now) theoretical problems.
what i fear are increased operating costs for the end users to "prove they are human". what i hope happens is cheaper infra (bandwidth ect) to be able to support the increased demand. and, a big hope that "bots" which are respectful [but this too wont hold up, people are not 100% respectful, why will their bots be?]
so we will be stuck with more captcha related crap, more websites that must use javahelll, even a "trusted browser" (walling out any new browsers, and things like curl), maybe websites that want your ID too (the "think of the children!" folks would be pleased), and ways to "trick" the bots (and not the real users) to ban the bots.... yay
