There are other non-official, youtube apps that it does work for. I wonder when/how Google will crack down on them.
I avoid using my mobile as much as I can. If I'm at home I use my computer, if I'm out I'd do anything other than watch videos on a 4" screen. I wonder if I'm alone in this.
You don't have to use the Youtube app, you can use a mobile browser than supports plugins (eg. Firefox)