So... They couldn't have really needed the information all that much, right?
From the Boston Globe:
"First the government abandoned the gag order that would have silenced four librarians for the rest of their lives, and now they've abandoned their demand for library records entirely," said Ann Beeson, associate legal director of the ACLU. "While the government's real motives in this case have been questionable from the beginning, their decision to back down is a victory not just for librarians but for all Americans who value their privacy."