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Except in this case, where it’s a proven successful business model.
Universal Studios sued Sony over BetaMax not because it was worried about skipping commercials, it wanted to be able to sell movies instead of people being able to record it.
The first lawsuit about programmatically being able to skip commercials which is more akin to the crowdsourced YouTube skipping creator embedded sponsorship was in 2001 when 28 studios sued ReplayTV out of existence.
https://www.eff.org/cases/newmark-v-turner
Also see: no cable tv was never ad free except for premium channels like HBO.
In spirit, you're right. But legally, the DMCA was specifically intended to give the media companies what they had always wanted but been denied by the courts.
They also lost before commerical skipping existed, in the 80s, when they tried, and again failed to get VHS recording of live TV banned, because you could fast forward through the commercials.
Before that, there were attempts to make it illegal to record songs off of the radio, going back to the 70s!
So many attempts were made at this, that many countries have legislation which makes recording off of TV, for personal use, specifically legal.
Democracy has spoken.
In other words, youtube's model of injecting commecial content into freely viewable media, and hoping people won't modify it to their tastes, is a proven failed business model.
Any executive which thinks this is the path, and they one can legally enforce it, is literally delusional and unfit to ply their trade.
All their hand-wavy attempts to get around this, via encryption, via copyright have also failed repeatedly.
This business model is still alive, but control of endpoint is dead, dead, dead.