Where do baby bells go before setting out on the information superhighway? If they're Nynex, Bell Atlantic Corp. and Pacific Telesis, they fuel up in Hollywood. The three phone giants announced today that they were starting a production venture with premier agent Michael Ovitz's company, Creative Artists Agency. The goal: produce TV shows and interactive entertainment, which they can pump over their lines. It's all part of therace against cableto capitalize on the emerging information-in-a-settop-box age. Phone companies are trying to makeup for cable's huge programming advantage. "That's why they need Michael Ovitz -- to get into Hollywood," says TIME senior writerPhilip Elmer-DeWitt. Eventually, the companies plan to offer music videos, electronic games, personalized news and interactive advertising. A new company is expected to open media offices in New York and Los Angeles and technology arms in Reston, Va. and the San Francisco area.