Google Adsense has decided to no longer give Adsense for its only one year old video ads. With this program, publishers had the freedom of showing YouTube videos and Adsense ads overlayed on their sites. But, do not confuse it with the ads, where the videos of the advertiser appear in an ad unit along with text or image ad.
The program was getting good response as it was benefiting the publishers. Although, certain usage restrictions made it a not-so-popular and not-widely adopted program. Google has mentioned in the post that it will be ending the program at the end of April and publishers are asked to remove the units before that.
If you are amongst the publishers who want to keep the program up, then be ready to switch back to standard YouTube embedded player, which will not generate any profit. Google has declared that the earnings from the program will continue till the end of April.