The pop beauty recently filmed an appearance on the long-running children's show in which she performs her song 'Hot N' Cold' with puppet Elmo in a low-cut dress.
A clip of the performance appeared on YouTube this week resulting in a flood of complaints from parents concerned her outfit was too revealing and leading to bosses scrapping her segment.
Comments on the video sharing website included 'You can practically see her t**s. That's some wonderful children's programming,' "They're gonna have to rename it cleavage avenue' and 'my kid wants milk now".
After pressure from parents, the show released a statement confirming the footage would not appear on screens.
The statement read: 'Sesame Street has always been written on two levels, for the child and adult. We use parodies and celebrity segments to interest adults in the show because we know that a child learns best when co-viewing with a parent or caregiver. We also value our viewers' opinions and particularly those of parents.
'n light of the feedback we've received on the Katy Perry music video which was released on YouTube only, we have decided we will not air the segment on the television broadcast of Sesame Street, which is aimed at pre-schoolers. Katy Perry fans will still be able to view the video on YouTube."
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