Time Warner noted that the company had posted "an $18 million noncash impairment of GameTap as a result of Turner's decision to sell its on-line video game business," but offered no details on potential buyers or the service's future.

The action follows GameTap's decision to lay off its entire editorial staff earlier this year.

Currently, GameTap provides a selection of PC and classic console titles for its members, including old-school games, modern releases, and original efforts such as Spicy Horse's American McGee's Grimm and Telltale's Sam & Max series.

While a small portion of GameTap's total offerings are available free of charge via an ever-changing catalog, most require a monthly $9.95 subscription.