I must admit, I was surprised that youtube would choose to slit its throat so completely... but PC World didn't exactly paint the full picture either I'd say.

"Initially, YouTube is only placing ads on content from select partners, and stated it has no plans to place advertising on user-generated clips at the moment."

This is the real point. Yeah okay it won't be on every video right now but do you trust them to stick to that in the future? Once they've estblished the principle of sticking adverts in the middle of their videos then what?

The golden age of youtube is over. They're clamping down on the copyrighted content and trying to make money from what's left. Had to happen but it's still a pity.

SOURCE