Okay, I'll say it. When I see "Red" and "Tube" so close together, my mind jumps to the porn site, RedTube. They can't possibly have been ignorant of this
"And we're thinking we'll call it Youtube Red"
"Uh........... yknow that's... it's... i heard once that... nevermind".
http://www.thewrap.com/youtube-exec-on-comparisons-to-porn-s...
"In a Q&A session with reporters Wednesday at YouTube Space Los Angeles, company executives were asked if they were concerned that consumers would confuse their new YouTube Red product with RedTube, an online porn platform.
“We did a lot of consumer testing, so we were comfortable with it,” Robert Kyncl, YouTube chief business officer, said of the name."
Maybe Google is ok with watching the awkwardness that will ensue, since it probably won't cause them any monetary harm.
"Part of the controversy about whitehouse.com was that users (especially minors in most cases) wishing to visit the website of the White House (www.whitehouse.gov) could easily go to the adult website instead."
In a professional setting, in the context of a marketing/naming discussion, I doubt anyone would have a problem saying "that's too close to the name of a popular porn site". Nobody whose humor has grown past a 12-year-old's will respond to that with "and how exactly do you know that?"; it's the job of the people in that room to know about myriad brands and products that they may or may not use, and the connotations of various names.