A proposed deal which would have seen clips of CBS shows posted on YouTube has collapsed, Reuters reports.

According to the Wall Street Journal, Google and CBS had been agreeing a "multi-year" contract but finally "could not agree on issues such as how long the deal would run". Accordingly, YouTubers will now not be able to (legally) enjoy excerpts from faves such as The Late Show with David Letterman.

The door is still open, though, for a future resumption of talks, and the two companies said they would for the moment to "work together only on more modest initiatives".

The Wall Street Journal also says YouTube is negotiating to "offer video from the BBC", citing "people familiar with the matter". ®