His logic chain may have been flawed for his argument, but his premise is not wrong. YouTube providing a distribution platform for any type of music video means that content holders are putting music on there and suffering the same rules as anyone else. To the best of my knowledge, Google does not pay any additional license fees to content owners should they elect to upload a music video to the platform. The owner makes ad revenue just like all other creators. This effectively circumvents the costly licensing agreements that the likes of Spotify and Pandora have to enter into.