I don't buy that for a moment. My ISP collects a lot of low-level information, but they don't need and don't collect the sort of information we're discussing here.
The individual users have actual hard links (or very rarely, some sort of radio) to somewhere and for that I agree you want diagnostics. "Sorry Ma'am I see your fibre went dark 18 minutes and 47 seconds ago, we'll have a technician out to investigate tomorrow morning". But the IP stuff is just bits, "You use Netflix a lot" isn't "useful for running operations" it's marketable information, it's collected because you can make money.