• U2 has left the Island Records. Sources say U2 and Island Records were suffering from a detoriating relationship.

Insiders claimed yesterday that the band’s members, led by Bono, became fed up with the Island Records’ senior management’s “hands-off” approach towards them, despite their having generated hundreds of millions of pounds for the label.

Friends said yesterday that the final straw came during a recent recording session in London. While Bono and the band worked on new tracks to add to their latest Best of compilation, no one from Island Records dropped by to meet them. One observer claimed this “put their noses out of joint” and did nothing to help the deteriorating relationship. Their closest ally at the label, the former general manager Jason Iley, was appointed managing director of Mercury Records last year, and the band have now followed him there.

• Universal Music Group strikes a deal with YouTube.
  UMG and its artists will be compensated as well as for the unique, user-created content that incorporates UMG music. YouTube has also agreed to a use its technology to filter out unauthorized content