I'm equally not "surprised" by their bad behavior, but that shouldn't stop us from condemning Google for unethically misleading people and engaging in browser monopoly abuse.
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EDIT: holding up (hilariously) RIAA lawyers as ethical role models only proves my point, thanks.
...legitimately. While Google (I will reinforce: Google, not everyone) sees downloading of the videos and other content from the YouTube by third-party services as illegitimate because of YouTube's ToS. After all, they're making money from the YouTube Premium and "Download" option provided by it, so things like that are kinda expected to happen.
And no, I don't agree that it's right. While I can understand the position of Google, the method they (allegedly) used here... Well... I don't even know what to say. That's plainly wrong, in my opinion. After all, "download" is defined as "To transfer (data or a program) from a central computer or website to a peripheral computer or device." by The American Heritage Dictionary of the English Language (5th Edition), so when you just watch videos, you download them already, don't you? What about watching them in browser, somewhere in embed on some website? Does that constitute a legitimate client (I guess so, because most of embeds still use YouTube Player after all)? That just makes me laugh : )
Our fantasy land gets better every time your reality gets worse.