I value YouTube, at most, at about $5 a month. I can easily do without it.
There you have it. If the cost of the service is not worth it, then users won’t buy it. Either enough users will pay for it that the service will stay as it is for the price it is, they will decrease the cost of the service, or improve the service they are offering. Or, given Google’s track record, just kill of the service entirely.
I will also point out that many users pay for Spotify for $11 USD a month. YouTube premium includes YT Music, which is a direct competitor to Spotify. So for users who pay for Spotify, it would be virtually $3 for ad-free YouTube. Of course this doesn’t work if you don’t pay for a music streaming service, but as far as services go it certainly isn’t unreasonably priced. Sure, it may be unfair that they don’t offer just a YT ad-free package, perhaps with all this backlash they will. Or perhaps not. It’s Google, they’ll do whatever they fuck they want.