Until your post, I'd always thought of geofencing at the the residential level as a way to tell your security system and/or thermostat that you were home. In my mind, if you were in range of your Wi-fi, you were home. This is the model that DIRECTV used IIRC.
The streaming services apparently use GPS on devices that are enabled and I guess that needs to be expanded to devices that aren't currently enabled (perhaps at the router level). Either that or give the ISPs the choice of providing tighter geolocation.
The relay boxes that T-mobile provides my workplace (they sold us service where their service doesn't consistently reach so we have to use our Internet to get our calls in and out) have GPS built in. If the box is far enough inside the building you have to run a provided GPS antenna to the nearest window. I had talked about something like this years ago where the satellite providers could add a GPS antenna to the LNB. They could bring the signal in on a low speed modem carrier riding on the coax.
As IPv6 becomes a thing, geolocation will probably become more difficult so other options need to be explored but that's clearly a problem for the people seeking to locate their customers.
