If anything, YouTube's scale gives it a better chance of being able to address this issue, since there are likely fixed costs here that YouTube can better fund (obviously investing in better automated screening, but also setting up the workflows for human moderation, etc.) I think the only benefit a smaller scale competitor has is that they're less visible and unlikely to be "caught" for hosting content they "shouldn't". But if the rules applied equally to everyone, I think YouTube is strictly at an advantage in being able to implement better human moderation.
