Is that impersonation? Basically his app let you have a "bookmark" that opened a YouTube provided channel.
Sure he seems to be naive about the trademark issues (but interestingly never mentions how much money was made, if any) but Google were highly flawed in their customer service/developer relations [as usual]. The trademark issue isn't entirely clear cut (but I wouldn't want to try and defend it in court) as it's descriptive of what it is. There's an exhaustion of rights angle too - like being able to sell Nike shoes and call them Nike shoes as long as they are really from Nike. My point I suppose is it's not entirely without complexity.
Google, how hard is it to have a pro forma response that says "You can not use other business names or trademarks, which you don't have a license for, as part of your app name.".