Google AdSense has decided to no longer offer their Google AdSense for video (not to be confused with video ads, where advertiser’s videos appear in an ad unit in lieu of a text or image ad). These ads, which have been around for just over a year, allowed publishers to show certain YouTube videos embedded on their own sites, and showing AdSense ads overlayed.
The program was good for publishers using it, and I know I have heard from publishers who didn’t even know it existed. But there were restrictions on the usage, which definitely contributed to the fact it wasn’t widely adopted.
The program is ending at the end of April, so publishers should remove the units before then. However, if you decide to keep them up, they will change to the standard YouTube embedded players, which will not earn any revenue. They do state that earnings will continue until the end of April, so you don’t need to worry that you will lose income prior to it ending.
There is more on the AdSense blog.