diff --git a/RELEASENOTES.md b/RELEASENOTES.md
index 79f505b6de..4970515cd9 100644
--- a/RELEASENOTES.md
+++ b/RELEASENOTES.md
@@ -9,6 +9,8 @@
         scrubber bar around). The behavior of scrubbing mode can be customized
         with `setScrubbingModeParameters(..)` on `ExoPlayer` and
         `ExoPlayer.Builder`.
+    *   Fix bug where prepare errors in the content of `AdsMediaSource` may be
+        never reported ([#2337](https://github.com/androidx/media/issues/2337)).
 *   Transformer:
     *   Filling an initial gap (added via `addGap()`) with silent audio now
         requires explicitly setting `experimentalSetForceAudioTrack(true)` in
diff --git a/libraries/exoplayer/src/main/java/androidx/media3/exoplayer/source/MaskingMediaSource.java b/libraries/exoplayer/src/main/java/androidx/media3/exoplayer/source/MaskingMediaSource.java
index bbbb163f3a..b14c182932 100644
--- a/libraries/exoplayer/src/main/java/androidx/media3/exoplayer/source/MaskingMediaSource.java
+++ b/libraries/exoplayer/src/main/java/androidx/media3/exoplayer/source/MaskingMediaSource.java
@@ -102,13 +102,6 @@ public final class MaskingMediaSource extends WrappingMediaSource {
     }
   }
 
-  @Override
-  @SuppressWarnings("MissingSuperCall")
-  public void maybeThrowSourceInfoRefreshError() {
-    // Do nothing. Source info refresh errors will be thrown when calling
-    // MaskingMediaPeriod.maybeThrowPrepareError.
-  }
-
   @Override
   public MaskingMediaPeriod createPeriod(
       MediaPeriodId id, Allocator allocator, long startPositionUs) {
diff --git a/libraries/exoplayer/src/test/java/androidx/media3/exoplayer/ExoPlayerTest.java b/libraries/exoplayer/src/test/java/androidx/media3/exoplayer/ExoPlayerTest.java
index bfed31a2db..2c14b175a1 100644
--- a/libraries/exoplayer/src/test/java/androidx/media3/exoplayer/ExoPlayerTest.java
+++ b/libraries/exoplayer/src/test/java/androidx/media3/exoplayer/ExoPlayerTest.java
@@ -16818,6 +16818,27 @@ public final class ExoPlayerTest {
     assertThat(shouldRendererThrowRecoverableError.get()).isFalse();
   }
 
+  @Test
+  public void prepareMaskingMediaSource_withRealSourcePrepareError_reportsPlaybackException()
+      throws Exception {
+    ExoPlayer player = new TestExoPlayerBuilder(context).build();
+    FakeMediaSource realSourceWithPrepareFailure =
+        new FakeMediaSource() {
+          @Override
+          public void maybeThrowSourceInfoRefreshError() throws IOException {
+            throw new IOException();
+          }
+        };
+    realSourceWithPrepareFailure.setAllowPreparation(false);
+    MediaSource maskingMediaSource =
+        new MaskingMediaSource(realSourceWithPrepareFailure, /* useLazyPreparation= */ false);
+    player.setMediaSource(maskingMediaSource);
+
+    player.prepare();
+    // Assert the prepare error is reported.
+    advance(player).untilPlayerError();
+  }
+
   // Internal methods.
 
   private void addWatchAsSystemFeature() {