The YouTube imbroglio continued on Tuesday in the UK, sparked by an unceremonious pulldown of thousands of artist videos. The content removal follows a contentious negotiation between YouTube and performance rights organization PRS for Music, one riddled with heavy payment demands and a "lack of transparency," at least according to Google. In the end, it was Google pulling the plug, not PRS.
Now, the UK-based Music Publishers' Association (MPA) is throwing its weight behind the PRS, its ally in matters related to publishing royalties. "This action is particularly disappointing in light of the landmark deal agreed between PRS for Music (then the MCPS-PRS Alliance) and YouTube in August 2007," the group stated. "That deal, brokered with the assistance of the MPA representing the UK's music publishers, was a pragmatic licensing solution, enabling YouTube to provide copyright content whilst providing the songwriters and publishers a fair return for their creativity and investment."
But wait, there's more. On the other side, Last.fm has now sounded its support for YouTube. "It has been a bold decision for Google but we are all working in a very competitive environment and the fees need to reflect that," Last.fm cofounder Martin Stiksel told the BBC. "We have to find commercially workable rates otherwise illegal services will win and take over."
On the legislative side, UK Minister for Communications Lord Carter also weighed in. "It is an example of the question of how do you price and fund content in the digital world," Carter told the Business Select Committee. "We have had decades of content being funded in one way – via the license fee and advertising – and that model is changing at a rapid speed."
Also lingering in the background is Pandora, forced to exit the British market after failed negotiations with the PRS. That left a bitter aftertaste, and the service has grown considerably in the US following that row.
And ahead? Reports are now focusing on another potential fallout between the PRS and MySpace UK, also a major broadcaster of videos. The parties could trudge through their negotiations without the YouTube-like fireworks, though heavy licensing demands may also be dogging MySpace - and, for that matter, a list of other similarly-situated companies due for renewal.

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