My friend Melissa, graduate animation student at UCLA, has completed her animated short called "Love on the Line," a story about, er... well, cyber-sex -- Victorian style! Melissa made large cut-out articulated puppets and animated them using stop-motion. On top of that she added 2-D computer animation for the ticker effect.
Incidentally, such telegraph romances actually happened according to the book The Victorian Internet: The Remarkable Story of the Telegraph and the 19th Century's Online Pioneers, by Tom Standage.
"Love on the Line" has already won awards and been shown at festivals.