Youtube can't paywall the site, since that would create an even bigger outrage than longer ads. But they are already working on unskippable ads, so people won't be able to block them with conventional means. So to them, it's not a simple request. Either you watch ads or you pay. I'm personally not a big fan of that, since it feels way too intrusive and dystopian.
And yeah, Google as a whole sucks ass, we all know that. Again, I'm not arguing against stealing from them, but just that it IS indead still stealing/piracy to block ads. If you want to do that or not is a personal decision, but people still need to be aware of what they're doing.
Arrr, matey! I think we have an understanding! Ye may sail the seven seas, I don' see a thing wrong with it!