Hollywood talent shop William Morris Agency is teaming up with the Silicon Valley venture capital firms Accel Partners and Venrock to invest in digital media start-up companies based in Southern California, according to news reports. AT&T has also signed on as a limited partner.

The consortium plans to look at technologies supporting the delivery of web content to phones, computers and television screens as well as new wireless entertainment and communication capabilities.

It will also examine technologies that deliver advertising to cell phones.

The New York Times reported that this deal is an indication of how quickly online and mobile entertainment are transforming the wireless carriers. It's also a recognition -- on all sides -- that a failure to act now could leave the partners vulnerable to interlopers who seek to upend their traditional businesses.