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Yeah, its purpose is as a generalization of a group of people when referring to them in the 2nd person, but we don't often talk to groups like that, to the point we have to specify when we are. We straight up have to add additional words to the sentence so people know we're using it in its plural form, like saying you guys or you all (y'all).

It exists and we use it, but it's a weird one and we never think of "you" as a plural word.