Or they'd simply rather not spend time and money to solve someone else's problem?
Verizon's bandwidth is indeed Verizon's problem.
It's not like rack space is free, or electricity is free...
The backspace and electricity demands of an OpenConnect box are likely negligible in comparison to the overall strain placed on the network by Verizon customers using Netflix en masse.
...or ensuring that someone else's hardware isn't going to harm your network is free. If I were an ISP, Netflix would "get" to install hardware in my network over my dead body - simply because I DO NOT TRUST HARDWARE AND SOFTWARE I HAVEN'T VERIFIED.
Good. You sound like a capable admin. Now, what's to say you cannot verify the box?
What about the people who AREN'T Netflix customers and DON'T want to pay for someone else's service? Why should my ISP fees be used to help someone else stream movies I can't access?!
By having an ISP you are splitting the cost of using the network among X number of people. Since the cost of an OpenConnect box is rackspace + electricity + verification / customer base, the cost to you alone is exceedingly low.
There's absolutely no reason I should be footing the bill for a service I have no intention of using.
This mentality is destroying the country.