Look this is different than pirating a game or bypassing a newspaper paywall. Watching content on YouTube simply costs money to YouTube. It's not like torrenting a game or movie, where while you haven't paid for the content, it didn't cost anything to the owner other than theoretical revenue. And it's not like bypassing a newspaper paywall, either, where the cost to the newspaper to serve you the story is practically negligible and the real costs are fixed and not related to how many people actually read the story.

Hosting video costs money and nobody can replace YouTube's massive library or realistically replicate their business model. I mean just look at image/gif hosting sites, they constantly go bust like Photobucket because storing everyone's pictures forever and for free isn't not a real business model.

YouTube needs to be paid for its gonna go the way of Photobucket.