Earlier quoted context omitted.
Is $14 dollars for ad-free, unlimited access to literally billions of videos really a steep price? Personally if I were to get rid of all but one of my media subscriptions I would stick with this one, since it's got everything - entertainment, education, inspiration, you name it.
I am not going to watch billions of Videos. Its not entirely ad free, just fewer ads, AFAIK sponsored segments remain so there are still ads, sometimes quite lengthy ones. $14/month is $168 an year, and if you subscribe to multiple other video services the annual total is going to be quite high.
As for the ads, YouTube Premium now has built-in sponsor skip. They can't really block sponsored segments, as that is a freedom of speech issue and also something they can't easily determine. Creators can just omit that some product is sponsored.