It was in place for a couple of days, tops, before they reverted it. The backlash was immense and immediate. And with good reason: in addition to the obvious reasons why it sucked, the YouTube screensavers just looked terrible. I couldn't believe how bad they were.

From what I've seen recently, they have stopped - I get Snoopy (current screensaver of choice) every time, no matter what app is running.

(Although it's on a 5 minute timer which might be short enough to pre-empt everything else.)