MTV may stop broadcasting music videos by artists including The White Stripes, Basement Jaxx and Mis-Teeq in Europe in an argument over royalties.
Mis-Teeq's label Telstar is involved in the royalties row
More than 288 independent record labels have refused to accept a 55% cut in royalty payments offered by MTV.
As a result videos by their artists may disappear from MTV's European channels including VH1, TMF and MTV itself.
In a letter to the network, the record labels said: "We value MTV - we wish they would value us in the same way."
The labels said MTV has threatened to withdraw their videos from its programmes if an agreement is not reached by 31 March.
"Independent artists and record companies object to the high-handed way in which MTV is trying to reduce its costs," they wrote in the open letter.
"No-one denies that play on MTV may be beneficial, but it should be recognised that the labels provide MTV with its core content and so should be effectively recompensed at competitive commercial rates."
In reply, MTV Europe president Brent Hansen said he did respect and value independent artists and labels - and would return to the negotiating table "in a genuine effort to reach a resolution".
But he was still "convinced at the strength of our case - and unconvinced by the arguments and tactics" of the independent labels, he said.
"This is not just about the money - our invaluable relationships with the independent music community dictates that this is the right course," he wrote in an open letter.
"Our goal, as always, is to ensure that all good music, including independent artists and repertoire, retain their unique position on our network."
The dispute stems from a 1998 deal, in which labels including Beggars Banquet, Telstar, Ministry of Sound, Rough Trade and XL Recordings signed a £1.9m contract to have their videos shown across MTV Europe's channels.
When this contract expired, the labels were offered reduced royalties of £840,000, which they refused.
Independent labels account for 22% of Europe's music market. Craig David, Feeder, Franz Ferdinand, Moloko, So Solid Crew and Travis are among the artists signed to labels involved in the dispute.