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YouTube just made it harder to avoid ads with a tiny skip button
(www.androidpolice.com)
This is a most excellent place for technology news and articles.
The real problem is that barriers to entry for competition are insurmountable.
If I wanna compete, I gotta host those files somewhere. With Google, Amazon, or Microsoft. That's basically my whole list of options.
I mean, I can opt to do it myself, but... That's beyond David v Goliath. No way I could manage the amount of spam, CSA, DMCA, terrorism/misinformation and other shit that would seek to take the competition out.
IMO a lot of the attacks on independent and federated social media probably come from their corporate competitors. Who has the most to gain from flooding Lemmy with CSAM? Reddit, obviously.
The other reason why it's impossible is simply that nobody would upload their genuine content to your site because it doesn't get as much "engagement" as on YouTube. Social inertia is why YouTube can pretty much do whatever the fuck they want and people will stay.
Twitch is the same thing for livestreams. Not even Facebook using fuck-you money to literally buy exclusivity contracts with streamers could change that. People just didn't want to watch there (although I can understand their reluctance).