I used DS3 as an example. But no, even in 2014, you've only paid for a DS3 (or whatever) worth of bandwidth in theory. It's not just the last mile that's oversubscribed -- so are all the trunks leading up to it. If that's changed between then and now, I would lay pretty good money that it's changed to make things worse, not better.

Without meaning to express either approval or cynicism, market power has always been the only thing that matters in this business. But CDNs have paid big ISPs special rates for years, because they really do put special strains on infrastructure. And my impression remains that that's what this particular battle is ultimately about.