Instead, the real focus should be on the fact that YouTube videos themselves are advertising -- the question is just: for what?
For what? For ISP's. It's really quite basic.
Videos on Youtube advertise just how fun it is to be on the Internet, and you have to pay somebody to be on the Internet, don't you? Be it your cable provider, your cellphone provider, your local coffee shop for their WiFi -- all the same.
I don't understand why people haven't figured it out yet -- the best way to make money off of the Internet is to sell access to the Internet.
Now, just get rid of that pesky already-government-controlled-monopoly thing, and you've got yourself a business.
Now, wasn't that easy?