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A machinima is the usage of a game to record footage for a video, often with the purpose of producing fan works. Machinimas relating to the Smash Bros. series typically involve recording footage of gameplay, often via Camera Mode, Replays, or other methods; the resulting footage is then controlled and edited according to a predetermined script or outline in order to create a narrative or story of some sort.

Wikipedia has an article on Machinima.

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