And I'd agree, except that this behavior is an advertised feature of the of the system, iow, if you open multiple fullscreen videos, you should expect to see what is seen as opposed to Safari crashing or the system crashing.
Hmm, is opening a fullscreen video considered opening a new application, or is it considered a single application (the browser) displaying different content? I thought it was the second case, so multitasking I don't think applies. Same for desktop chrome, when it shows a fullscreen video, that's not a new application, just the browser displaying content in a new way.
For picture in picture mode, I don't think multiple fullscreen videos should be a valid configuration of picture in picture.