Eros, Shemaroo, etc. - they are distributors of these movies, so the online content is very much legally uploaded. As smartphones spread in India, people are watching a lot on Youtube while commuting, etc.: so digital video content is a lovely money-spinner for these companies. Why not to upload the complete "Namak Halaal" on Youtube: you are anyway not going to screen it now in a theatre really? If Western companies are not doing that with their old films, that's for two reasons, IMO: (1) the market for them is not that big, plus too fragmented, (2) the DVD market works well for them and makes good money for them, especially when a film gets in the league of Criterion Collection, etc. But, I agree, they are missing out on some money: many of the old Hollywood or other Western countries' films are quite unknown, and better to put them online. What's the point of keeping them so no one can see them? Doesn't benefit anyone!
By the way, one lovely Youtube channel is Pocket Films, if I remember the name correctly: they often upload shorts and those films which didn't make it to theatres or could make it only to multiplexes for very few days. Some of them are real gems! Like the short "Tubelight ka chaand".
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