This was requested by the EU, not their own decision. NetFlix has historically always had more than enough capacity, it has always been ISP's that are lacking with bandwidth.
Therefore: Although the Netflix cut was triggered by the EU, it might actually have been a successful lobbying action by the ISPs.
[1] https://praxistipps.chip.de/internet-recht-dsl-geschwindigke...
Right now politicians don't want me to enjoy the perfect weather outside but instead to stay indoor and play online games or program something. Both I'm less likely to do if my neighbors clog my internet by watching ultra hd streams, apparently.
Don't think "the market will solve it" is best approach right now.