Time Warner is among those contributing to a new round of financing for the virtual world Gaia Online, reports Brandweek.

Gaia received a $12 million round of financing in which Time Warner participated. Though the details of its investment were not disclosed, Gaia did say that Warner did not gain a seat at the managerial table.

Just last month Sony Pictures made a similar investment.

Both Time Warner and Sony have made previous deals with Gaia, allowing for the streaming of movies from their catalogs in the virtual world. Gaia often organizes parties around such movie screenings.

"We truly believe Gaia Cinemas represents a dramatic next step for online video," Gaia CEO Craig Sherman said.

If successful, Gaia could pave the way for a new format of online distribution that is distinctly different from streaming or downloading video. Whereas those modes are typically consumed in solitary, virtual exhibition is intended as a mass viewing experience.

Instead of watching alone from the remove of a desk chair, multiple users simultaneously watch in the vicarious form of their own avatars, customizable digital characters whose actions can be manipulated in the virtual world's three-dimensional setting.

"With the Gaia Cinemas, teens can now enjoy Warner Bros. movies with their friends regardless of where they are physically, (whether it's) just across town or on the other side of the country," said Andrew Mellett, senior vp VOD at Warner Bros. Digital Distribution.

Read More...