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Yeah, I think they should. I think if your App plays video on iOS, it needs to support AirPlay, PiP, etc. Personally I think it should conform to Apple's playback UI also.
I see no benefit to allowing developers flexibility in these areas. It only ever hurts the user experience.
I agree that that is what I would like in an ideal world. But I also think developers, content providers, etc. should have the right to provide their "goods" however they'd like.

In the mean time, uninstall YouTube and use it through Safari. Problem solved. ;)
 
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