Like on an ISP mainframe is there like a screen they look at that says what you been doing?
Don't know what you mean by "IPS mainframe" but there are a number of commercial devices which inspect, analyze and capture network traffic. The results are presented in many forms and used for many purposes. In the US and I suspect many other areas of the world it is often driven by money - an ISP wants to target ads or search engine results, a content provider wants to offer similar content so you will be more likely to purchase, etc. Unless there is a way to profit from it ISPs generally do not monitor network traffic.
Other entities do the same inspection for different reasons.
A while ago I worked for a company which was tasked with building boxes to analyze encrypted traffic - not decrypt it but just analyze it. It got to the point that our boxes could determine whether the traffic we were looking at was a user viewing a web page, was a user downloading a file and what the likely type of content was being downloaded, was sending or receiving email, etc. Of course the contents were encrypted so it was not possible to see the actual user data. VPN algorithms have gotten more sophisticated in order to counter this type of analysis but the boxes have also gotten better.
Bottom line. As an ordinary user pretty much no one cares about what you do except to target ads. Do something of high value and there are some really good tools people can use to get a good idea of what you are doing.
What VPN do you guys use then?
IPSec. It is harder to do a man-in-the-middle attack against IPSec and it has some builtin techniques to make analysis of the encrypted traffic harder.