Did I read this correctly? It sounds like YouTube will continue to host his content, but will now pocket the money they would have paid him. That doesn't seem right to me. If they were to cease hosting his material, that would maych their corporate-speak blurb. This sounds to me like more money for YouTube.
If he is demonetized, then his videos won’t get ad placement, so Google won’t make the money in the first place, as it will contribute neither to advertising revenue nor to the marginal benefit from the Premium users derived compared to non-Premium users in avoiding ads.
Since Google pays creators less than it makes from their content, Google is giving up money (in a narrow analysis) by demonetizing Brand, not keeping additional money. (In a broader analysis, the rational for demonetizing is that monetizing toxic content hurts the brand and alienates advvertisers, so it is profitable to demonetize that content in the long run despite the immediate hit from any particular decision to do so.)
The exception is demonetization for certain copyright claims, which effectively isn’t “really” demonetization, its letting the copyright holder take the creators place for monetization.