Music industry powerhouse Warner Music Group (WMG) has reportedly ordered video sharing giant YouTube.com to remove all music videos from its artists on their site, after negotiations between the two companies ended.

According to reports, WMG was trying to negotiate more music from revenues generated from plays of their artists' music videos, but failed to reach an agreement.

Despite the news, Warner's channel was still available on YouTube on Monday (December 22), and the company still wants to come to terms with the video sharing site.

"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 WMG read. "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."

YouTube explained their stance on the situation, via a post on their official blog, simply stating that music licensing is "very complicated."

"Every day we work with the music community to license your favorite music for you to use on YouTube. But music licensing is very complicated," YouTube said via a statement on their official blog. "Sometimes, if we can't reach acceptable business terms, we must part ways with successful partners. For example, you may notice videos that contain music owned by Warner Music Group being blocked from the site."

The two originally inked a deal in 2006, which helped paved the way with other music publishers such as Universal Music, Sony, and EMI. It allowed Warner's material to be used legally on YouTube in return for advertising revenue.

Typically, labels work deals with sites on a per-play model, or a share of the advertising revenue the videos generate. Sometimes, it costs a fraction of a penny, or more, for every video played.

If WMG and YouTube do not reach an agreement, thousands of music videos from artists such as Diddy, Missy Elliott, Lupe Fiasco, and even T.I. could be pulled from the site.

Analysts speculate that WMG's move could prompt other labels to also demand more money.