2. That's just making the experience worse for the people who do watch ads. Imagine it's a restaurant and you're raising the price so half the people can eat for free (this way everybody stays happy).
When I used to watch broadcast television I used to do the utmost to avoid the ads by muting during ad break. However, on the occasions that an ad would actively interfere with my watching experience, such as an animation on the channel logo, or a sudden ad break with an ad premeditatedly designed to catch you by surprise (often by "sponsors") I made an explicit decision to boycott said product if I had an opportunity. There are brands that I stopped buying because of these things.
People who react with antipathy to ads have been removed, increasing the value of the brand messaging by negating brand damage in large-scale ad campaigns.
For example, YouTube could increase the price of advertising on their platform to make up for the fact that a certain fraction of users never see the ads, thus keeping everyone who matters happy.