www.moviestorm.co.ukIt's called Moviestorm. It's a relatively new machinima application, and it's free.
If you don't know what machinima is, it's a movie making technique that involves the rendering of CGI in a real time interactive 3D engine. You can also call them "video game movies" if you want since most machinima are made using video game engines.
If you still don't get it, it's like that PC game called the "The Movies" except you can do more with it and it's a tad more complicated. Most of the basic features aren't too difficult to figure out though.
Right now Moviestorm is still in beta, but it's already at the point where it's usable and there have been several short videos made with it. You can download the beta for free. However, keep in mind it's still in beta so it still has a few bugs.
Here's a video someone made using Moviestorm if you want to know what it looks like:
http://youtube.com/watch?v=YJuU88W6iBk
