Thumbnails and images missing

Using embedly provider to fetch data from flickr and vimeo, no images are being fetched neither in backend when editing media element, neither in display. Other information seems to be fetched correctly, service works on the test page. Not sure whether it fails on generating file with image style or on file_save, proper error message handling would be appreciated. This used to work with beta3 release, but had to upgrade because of media module.

Running on Media 2.0-alpha3