Time Warner Invests in Digital Firm

Time Warner Inc. has invested in a digital video firm. The giant media conglomerate joined three venture capital firms in providing $30 million to TeraNex, a 2-year-old Orlando, Fla., company whose technology helps convert video into digital formats. The material can then be distributed via high definition TV or the Web--or conceivably, shown on a range of novel venues ranging from digitally-enabled movie theaters to hand-held computing devices and next-generation cell phones. Time Warner did not disclose its specific investment. TeraNex Chief Executive Mike Baron contended that higher-quality screens, improved Web connections and technology that enhances the image quality of Web video will “change the Internet from a place for doing work and searching into an entertainment machine.�