Two months after Israeli games developer Funtactix signed an agreement to create Web-based virtual worlds for Paramount Pictures, the highly-innovative company has now reached a similar deal with Warner Music Group.

Financial details were not disclosed.

Funtactix plans to create avatar-based online worlds dedicated to Warner’s musical acts. The company recently announced that its first online music world would be designated to the popular hip hop duo, New Boyz.

The virtual world will include a music-driven online gaming and digital merchandise platform. New Boyz: The WORLD is said to be the first music-based virtual world ever launched.

“Our artists and bands have some of the most dedicated followers,” said Andie Simon, Senior Vice President, Interactive Media, Warner Music Group. “With Funtactix’s dynamic platform and game design expertise, we are excited to collaborate with them and offer our artists another way to reach their fans.”

Funtactix was founded in 2006 with the financial backing of venture capital firm Jerusalem Venture Partners. The company is based in New York with development studios in Jerusalem, Tel Aviv and Los Angeles.

Gadi Tirosh, a general partner at JVP, said: “It’s exciting that millions of fans will use an Israeli technology in order to feel closer to the musicians they love so much.”