It's probably against the copyright law in Canada, but all the TV provider would have to do is dedupe and set TV shows older than 60 days to "archived." If people want to call it back up it can download in the background. Would be trivial to give the user the choice to mark a show or shows as "Never archive" and still save significant space.
But, I suspect something else is going on here. Perhaps the rights holders strong-arming.