What will end up happening is that subscribers will start going to a different provider out of principal when they are told that they have to pay this fee.
Most rational people will conclude that the fee is better than having to up front 2-3 times the initial cost and buying their own. And if they did buy their own and it goes bad, they will be more than happy to pay the $50.00 to get it replaced. I know I would. Wouldn't you...or would you just door-stop it?