bb say MAFIAA +++good.
More seriously, this will stop casual pirates, but not the more serious pirates. The true darknets, (the semi private pirate networks), will still exist, and go into full ecryption modes for all data streams. Shrug. Won't stop them. When you encrypt a file, you lose all the digital watermarking during transmission. How will the ISP be able to tell what is in the file? Or even if it's encrypted? A bit stream looks like a bit stream. All you can do is pattern match against known markers.
And then there's always sneakernet.
As long as digital recording devices and materials exist, there will be piracy. The more you try to block it, the more the "forbidden fruit" will challenge the teen-age hacker...