They probably mean the WiFi built into the cable modem.
My general sense is that these types of conversations happen daily at Comcast and such...I've heard too many similar stories over the years.
People just don't know that you can have wifi for free, especially when you've got adverts from O2 and such that 2gb 3G and " unlimited wifi".
I dunno if it's the same in the US but apparently it's some typically restricted resource that many providers in the UK are lifting the limits off.
No, this isn't too typical. Most people have their own router offering WiFi in front of the cable modem. It wasn't until recently that cable companies started bundling wi-fi and NAT into the modem.
I just felt a disturbance in the force. Damn, that sentence triggers a whole range of evil ideas I hadn't yet thought of.
Hmm, hold on while I check with my ISP whether I can downgrade my WiFi data limit for cheaper service... or would that just be giving them ideas? :p
No, but all of their features can be enabled/disabled by the ISP remotely.
Similarly to how you only get the ability to tether your data with more expensive plans. It's a completely artificial client-side restriction that can be circumvented by rooting, etc. Not unlike DRM.