First Big Partner for Zudeo: BBC

Zudeo, the new “100% legal” content sharing site launched by popular BitTorrent company Azureus two weeks ago, just nailed a distribution deal with the BBC. That just took them from a theoretically cool product to a player in the online video space.

Under the agreement, BBC will license a number of television shows to U.S. users, including Red Dwarf, Strange and Invasion Earth, Little Britain, Doctor Who, Fawlty Towers, Coupling, Keeping Up Appearances, League of Gentlemen and Ideal.

It is a tragedy that they didn’t include the only BBC show worth watching, The Office. Of course, that show is readily available on Azureus’ BitTorent client.

The benefits of Zudeo are pretty clear to publishers, who can leverage P2P networks to substantially decrease bandwidth costs and speed downloads for users.

This spells trouble for Pando and Red Swoosh, which offer competing products to publishers. Zudeo probably isn’t focused on those companies, though. There is a multi-party war brewing for IPTV eyeballs between iTunes, Venice Project, Zudeo and YouTube. Watch this space.