I also completely believe that YouTube correlates via IP for at least not-logged-in views (or at least tries to associate to accounts even if they've never logged in); I get bleedover to my iPad from my completely disassociated PC but not my Mac that’s logged into a different account.
(Also maybe I put too much effort into tailoring my own YouTube recommendations, but 99% of the time when they start going awry, I have a pretty good idea what triggered it. Random coincidences don't happen...)
Interestingly, I seem to recollect this happening only in the past few months or so, maybe a feature they turned on recently?
To the contrary, I highly doubt that they don't use it, privacy risks be damned. Using that data is their primary business model after all.
Easy enough to test, just start talking with another person for about 2-5 minutes straight repeating the words purple dog collar over and over in earshot of the device you suspect.
You'll be amazed when within 30 minutes to an hour all the ads on all devices will suddenly show purple dog collars or pet related items.
I'm frankly surprised to find some people in this thread don't already know that ip correlation is going on as a matter of course.
In addition, there could have been 100 instances in the past but they didn't stick.
- Random coincidence, which you notice in the one case where it happens but not in the 99 cases where it does not.
- You did search for it or something related. Or, you got one clip due to one of the other reasons, clicked it, now you're getting more.
- Correlation via IP
- Correlation via location
Since we're talking about YouTube recommendations, not ads, I kinda doubt the last two though. That would provide very little benefit and be a huge privacy risk. Location is certainly considered to some extent, but I would expect this to be on a country/region level, not city and certainly not fine enough for your friend to meaningfully influence it.