At Google's request, Microsoft pulled its YouTube app for Windows Phone 7.x and 8 back in May, but now it's returned. Apparently ready to display the ads Google is so insistent on, v126.96.36.199 is available for download, and also brings the ability to upload videos directly to the service. If you're not seeing it on your device yet you can grab it and get all the new details at the link below.
We've released an updated YouTube app for Windows Phone that provides the great experience our consumers expect while addressing the concerns Google expressed in May, including the addition of ads. We appreciate Google's support in ensuring that Windows Phones customers have a quality YouTube experience and look forward to continuing the collaboration.