While Universal Music is threatening YouTube with a copyright infringement lawsuit in the eventuality that the online video entertainment provider fails to respond to ongoing negotiations according to Universal's terms, Warner Bros. has chosen to partner with the Website. Consequently, America's largest recording company, with a revenue of in excess of $3.5 billion on an annual basis, will make music videos and interviews available on YouTube. The Warner Bros.'s content will be delivered under a revenue-sharing deal. "We are very excited," stated YouTube co-founder and CEO Chad Hurley. "This is a real landmark for our company. Warner Music Group becomes the first media company working with us to truly embrace the power of user-generated content and allow users to use their content in legal ways."

While the financial details of the agreement have not been made public as yet, the two companies are set to disclose additional aspects of their partnership later today.

"Technology is changing entertainment, and Warner Music is embracing that innovation," said Warner Music Chairman Edgar Bronfman Jr. "Consumer-empowering destinations like YouTube have created a two-way dialogue that will transform entertainment and media forever."