Index: wp-admin/includes/media.php
===================================================================
--- wp-admin/includes/media.php	(revision 18832)
+++ wp-admin/includes/media.php	(working copy)
@@ -1456,10 +1456,10 @@
 <input type="hidden" name="post_id" id="post_id" value="<?php echo (int) $post_id; ?>" />
 <?php wp_nonce_field('media-form'); ?>
 
-<h3 class="media-title"><?php _e('Add media file from URL'); ?></h3>
+<h3 class="media-title"><?php _e('Insert media from another web site'); ?></h3>
 
 <script type="text/javascript">
-//<![CDATA[
+
 var addExtImage = {
 
 	width : '',
@@ -1505,9 +1505,7 @@
 
 		t.width = t.height = '';
 		document.getElementById('go_button').style.color = '#bbb';
-		if ( ! document.forms[0].src.value )
-			document.getElementById('status_img').innerHTML = '*';
-		else document.getElementById('status_img').innerHTML = '<img src="<?php echo esc_url( admin_url( 'images/no.png' ) ); ?>" alt="" />';
+		document.getElementById('status_img').innerHTML = '*';
 	},
 
 	updateImageData : function() {
@@ -1522,7 +1520,10 @@
 	getImageData : function() {
 		var t = addExtImage, src = document.forms[0].src.value;
 
-		if ( ! src || jQuery('table.describe').hasClass('not-image') ) {
+		if ( src && src.match(/\.(?:jpe?g|png|gif)(?:\?|$)/i) ) {
+			jQuery('table.describe').removeClass('not-image');
+		} else {
+			jQuery('table.describe').addClass('not-image');
 			t.resetImageData();
 			return false;
 		}
@@ -1534,14 +1535,6 @@
 		t.preloadImg.src = src;
 	}
 }
-
-jQuery(document).ready( function($) {
-	$('.media-types input').click( function() {
-		$('table.describe').toggleClass('not-image', $('#not-image').prop('checked') );
-	});
-});
-
-//]]>
 </script>
 
 <div id="media-items">
@@ -1890,9 +1883,7 @@
 	}
 
 	return '
-	<h4 class="media-sub-title">' . __('Insert media from another web site') . '</h4>
-	<p class="media-types"><label><input type="radio" name="media_type" value="image" id="image-only"' . checked( 'image-only', $view, false ) . ' /> ' . __( 'Images' ) . '</label> &nbsp; &nbsp; <label><input type="radio" name="media_type" value="generic" id="not-image"' . checked( 'not-image', $view, false ) . ' /> ' . __( 'Audio, Video, or Files' ) . '</label></p>
-	<table class="describe ' . $table_class . '"><tbody>
+	<table class="describe not-image"><tbody>
 		<tr>
 			<th valign="top" scope="row" class="label" style="width:130px;">
 				<span class="alignleft"><label for="src">' . __('URL') . '</label></span>
