While a resolution is yet to be reached between Warner Music Group (WMG) and Google-owned YouTube, the studio ordered that all of its videos be pulled from the popular online video-sharing site after contract negotiations stalled.

On Dec. 20, talks between Warner Music Group, which was the first major media company to ink a deal with the site in 2006, and YouTube to renew their deal hit an impasse, and one by one, the videos of established Warner artists like Madonna and hot young acts like T.I., Linkin Park, Green Day, Josh Groban, Faith Hill, and My Chemical Romance, began disappearing from the site.

Apparently, Warner, which claims that less than 1% of their revenue is brought in by its YouTube content, wants a bigger share of the huge revenue potential of the website's massive visitor traffic.

"We are working actively to find a resolution with YouTube that would enable the return of our artists' content to the site," a statement from Warner said. "Until then, we simply cannot accept terms that fail to appropriately and fairly compensate recording artists, songwriters, labels and publishers for the value they provide." 

The original deal allowed Warner's material to be used legally on YouTube in return for advertising revenue.

YouTube confirmed that Warner had begun pulling its content from the site in a company blog last week saying that users might have noticed that contain music owned by Warner Music Group was being blocked from the site. The reasons behind the decision were not discussed in the blog post.

"Despite our constant efforts, it isn't always possible to maintain these innovative agreements. Sometimes, if we can't reach acceptable business terms, we must part ways with successful partners," the statement added.

However, the move does not appear to extend to a broader battle between YouTube and the music industry, as sources close to other major labels said they did not anticipate taking down their content in the near future, although analysts speculate that Warner's action may prompt other music companies to demand more money. YouTube also has deals with Universal Music, Sony and EMI Music.