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Microsoft may lose $120 million due to the Overwatch League shutdown
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I don't think it was necessarily a mistake. I regularly watch CSGO/CS2 tournaments on Youtube (as opposed to Twitch) because the viewing experience is just straight up better. Video quality is better, you can rewind back, you can pause and continue where you paused. The only big reason to prefer Twitch over Youtube is the chat, but the majority of time Twitch chat is cancer and I have it off anyway.
No Esports taking off on Youtube isn't the fault of Youtube, it's the fault of viewers who are too ingrained into Twitch.