Warner, what are you doing? I understand that YouTube may have been the instigator in taking down Warner music videos, but still- Warner should have been a bit more open in the negotiations.
Forget that the model has changed...people have changed.
The interline is great- it's opened up a plethora of options for media people, brands and marketers to extend the life of brands and their impacts on people.
It started off as a purely data-based tool and a way for people to access information. And as a constantly evolving medium people learned and adapted to the net to make it something more. i.e. Web 2.0 was born.
With that comes the expectation of people to play with marketing tools or whatever for free. If something online requires payment, there is a 100% likelihood it will be available somewhere else for free.
So for Warner- leave your music free and available on YouTube. It's not about making royalties, it's about making a sample of your product available for the public to trial- eventually leading to a sale. People are appreciating the accessible and open. That's how the internet is going and you may as well leave your product somewhere where you know people are going- then at least you still have some element of control over content.
So yeah, peace. Happy H-Kah and the merry X-Mas