Advertising research firm EMarketer estimates YouTube will net $11.4 billion in worldwide revenue in 2019 after accounting for revenue shared with content producers.
Dr Hess said the doctored Splatoon videos are not the only ones pushing dark and potentially risky content on social media platforms, particularly on YouTube Kids.
As online anger built over the issue raised by Watson, YouTube "took immediate action by deleting accounts and channels, reporting illegal activity to authorities and disabling comments on tens of millions of videos that include minors", said a spokesperson for the video platform.
Many on social media have given their view, one user wrote, "Basically, YouTube seems to be hatching a plan to enforce a new policy that will say "no children allowed in videos", and another said, "YouTube shooting themselves in the foot by taking nice things away from nice people because of terrible ones". YouTube has been removing recommendations for marginal content to stop the spread of questionable content.
If you think these videos are somehow lost in a vacuum, only to be found and viewed by pedophiles, you would be wrong.
A spokesperson cited YouTube's policy that prohibits the monetization of videos with "dangerous and harmful" content as the company's reason behind the decision.
Other remarks praise the children, jump to points in the video that picture children's legs or buttocks, ask whether they're wearing underwear, or simply insert strings of sexually suggestive emojis.More news: Huawei announces $3,425 foldable display Mate X smartphone
It's exactly what happened last time the layer of muck buried in YouTube's billions of hours of videos came into contact with big-name advertisers, and the time before that.
The shocking video has been edited in between the Nintendo game Splatoon and the man Filthy Frank a YouTuber says "Remember, kids, sideways for attention, longways for results".
"There's more to be done, and we continue to work to improve and catch abuse more quickly", it said.
At the time, YouTube said that it used a combination of automated systems and human flagging to block inappropriate comments - be they predatory or sexual - on videos featuring minors. Perhaps even more alarming, once a user arrives at one such video, YouTube's algorithm seems to suggest only similarly "suggestive" content, usually featuring young girls.
Social media companies, including Facebook and YouTube, have recently been facing pressure to get better at this, following inquiries from media and calls from lawmakers.
Although all platforms increased efforts in that front, it seems they also have other, equally important areas to cover.
Though parents should talk to their children about the videos, Dr Kaslow said, YouTube Kids also should address the issue, explaining to children what the videos were and why children should never harm themselves.