The presence of advertisements on YouTube TV, a subscription-based television service, stems from a multifaceted economic model. These commercials serve as a supplementary revenue stream for content providers and the platform itself. This is analogous to traditional broadcast television, where advertising underwrites the cost of programming.
This revenue stream enables YouTube TV to maintain competitive subscription pricing. Without advertising revenue, subscription fees would likely be substantially higher, potentially deterring a significant portion of the user base. Historically, advertising has been a cornerstone of media funding, allowing for broader accessibility of content. The use of ad revenue reflects a continued reliance on this model in the digital age, even within subscription services.