I wonder if that really what users expect? I hate auto-downgrading, I always set quality to the highest option and I'm happy to do other work while video is downloading and buffering.
If I'm watching a movie I probably want to quality to remain reasonably high, if I'm watching a Youtube video of people talking or something where visuals don't really matter I'll take 480p over buffering.
Youtube is pretty decent for that, you can either let it figure out what format to use, or force the resolution. That's a good compromise IMO.
I've pretty much switched over to youtube-dl for video viewing, as I find it to be superior to the web interface in most ways. I get the highest-quality file every time, instead of what their AI thinks I want. I can easily request audio-only or video-only. Download once, watch over and over without using more bandwidth each view. No suggested videos. No recommendations. No comments.