12 years of free video hosting with no ads and a platform for people to discover your videos is quite the deal.
They always had to add ads at some point, hosting video, and the bandwidth and transcoding that goes with it, is incredibly expensive, not to mention the dev time going into creating such a massive platform.
If you thought you could eat a free lunch forever... Well, I guess this is your rude awakening. But you honestly should have expected it.
The discovery feature of Youtube shouldn't be understated either. A large number of creators have most of their audiences because of Youtube. And honestly your example of Jim Sterling sounds like a smaller company would have gone out of their way to ban them. He's reaping all the benefits of the platform while giving nothing back.