"They had a huge shouting match and she is feeling very hurt. Nicole was really upset,"quoted a source as saying.
The two Kiwi stars had been friends for a long time, till Crowe told Australia's GQ magazine: "I don't use my celebrity to make a living. To me it's sacrilegious - it's a complete contradiction of the (bleep) social contract you have with the audience."
The "Moulin Rouge" actress, who was recently paid 2 million pounds to star in a four-minute commercial for Chanel, was reportedly furious and felt personally insulted by his comments.
Recently, there were also reports of their film together "Eucalyptus" being cancelled, owing to Crowe's differences with the director.