Your API Client will not, and You will not encourage or create functionality for Your users or other third parties to:[...]
7. modify, replace, interfere with or block advertisements placed by YouTube in the YouTube Data, YouTube audiovisual content, or the YouTube player;
11. store copies of YouTube audiovisual content;
A couple days back we saw Microsoft release a serious overhaul to the Windows Phone YouTube app, bringing a lot of new functionality to an app that was previously a bit of a disappointment. While early reaction from users has been positive, will these good times be short-lived? It’s since come to light that Microsoft’s new app violates a number of YouTube’s terms of service, potentially setting the stage for Google taking steps to disable the app’s access to its content.
The most glaring violations are the ability of the app to let the user download content to their phones, and that the program appears to not be displaying ads that should roll before certain videos.
Either one of those would give Google reason to block the app’s ability to connect to YouTube. What remains to be seen now will be if Google actually decides to go down that path, and what Microsoft’s reaction would be: removing the offending features or looking for some kind of work-around.
So, suffice it to say: enjoy the new YouTube app while you can.