They will be back. Universal music has admitted it is making a mint with youtube, in an area (music videos) that used to be purely promotional and not make any money. I believe they stated their figures were in the 10's of millions with youtube and heading close to the 100 million/year mark. I don't know how viable youtube is with regular media (tv, movies, etc) but with music there is 0 doubt. Give it a few months at most, youtube was apparently close to a deal with them before they changed the terms at the last moment, with youtube's other music contracts up for renewal I guess they didn't want to make the concessions they wanted. They will agree on terms sooner or later though.
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