You still have ads with YT Premium. Most creators place multi-minute ads in their content.

In case you haven't noticed, most youtube content is marketing something.

Sometimes it feels like the overt ads trivially overcome by adblockers or youtube-dl are there just to be something extremely obnoxious you can circumvent and feel relief from while still consuming marketing that is only made desirable by contrast.

Is this a shot at the ads being the majority of the content these days, or are you just watching kinda shitty channels?

They're quite easy to skip on most content. Some even put a "loading bar" to easily identify when it's going to end.

So the content creator has decided to insert their own ad inside their content resulting in a worse user experience (since you seem to be complaining about it). Should Youtube ban in-content third-party ads?

I believe YT makes a cut of this ad rev. It's also much harder for ad blockers to block these kinds of ads.

So why would YT block it?

How would YouTube take a cut of this ad revenue? It's not disclosed anywhere on the YouTube platform.

I think you mean sponsored content which is not quite the same as ads/

When you're watching a video and there's a ~1min segment on squarespace...etc, its an ad.