The only benefit to it is that can use their functionality without being tracked and without your actions being logged into your usage history. Chrome is the obvious one, but Gboard got it too. Someone wanting to enable Incognito Mode in the YouTube application on Android isn't going to enjoy having to dive into the Settings of the application, only to then browse around in the History & Privacy section to find the toggle.
It appears that Google has started pushing out a brand new feature to those using YouTube TV on their Android devices. But the new Incognito Mode should be easier to access by just tapping your account picture in the top right corner, where a "Turn on Incognito" toggle will be available.
Settings without Incognito (left) vs with Incognito (right).
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When activated the app won't record your current session and the subscription list will be hidden. Plus, there's a nice incognito icon replacing your avatar. It works pretty much like it sounds it would, letting you control YouTube TV with voice commands like "Jump back to my last channel", "Play NBC", or "Turn on the Trail Blazers game".
I don't see the option on any of my devices, so this seems like a server-side test. Cody had already discovered strings mentioning it in the regular YouTube app and YouTube Music, so this doesn't come off as a surprise to us. According to the screenshot, YouTube's Incognito won't keep track of your history, but your service provider or employer may be able to see what you're looking at.