Youtube is doing the actual act of implementing the block, but the only reason youtube blocks anything is because the content owner requested it to be blocked.

Youtube is doing the actual act of implementing the block, but the only reason youtube blocks anything is because the content owner requested it to be blocked. They play/allow everything they have the rights to. Google is not telling the indie labels "fuck you, you can't have your music on youtube", the labels are revoking youtube's licence to broadcast their works because they don't like the way youtube is planning to broadcast it.