That's pretty much how it works in all of the EU zone, too.
In Australia you also need to show ID, but it is very quick. Although expensive.
UK was the best, and for £15 all you can eat data.
You can go into a store, pay 5€ and walk out with a new line in less than 5 minutes though.
It's mainly due to terrorism and security excuses, not real reasons.
The average US cell phone user has no idea that phones and service aren't one-in-the-same.