The dropping of Tendulkar comes on the backdrop of Pepsi axing the other two members of the Indian batting trioka --Rahul Dravid and Sourav Ganguly -- earlier this year.

Industry sources said Pepsi did not renew the contract with Tendulkar, who has been their brand ambassador since the 90s, following its decision to focus on younger cricketers.

"The decision was also influenced in a big way by a premium demanded by the batting maestro," the sources added.

As per market estimates, Tendulkar with a fee ranging between Rs 3-4 crore for endorsement per brand annually has been the most highly paid cricketer of his generation.

When contacted Pepsi officials refused to comment or clarify if the company has not renewed the contract.

Tendulkar's manager, the World Sport Group, was not available for comments despite repeated attempts.

Pepsi had made it clear its intention to go with youngsters as part of a new campaign for 2008, 'Yeh hai Youngistaan Meri Jaan' and roped in Ishant Sharma and Rohit Sharma while dropping Dravid and Ganguly.