TVMyPod announced it is selling pre-loaded video iPods. Several firms already provide a similar service for music. The videos includes popular TV shows and movies.

Unlike P2P downloading, the TVMyPod is fully legal because the customer is buying and receiving the actual DVD. The digital copy is a legal copy under fair use provisions of the U.S. Copyright Act.

In addition to providing convenience, the service overcomes an iTunes limitation. iTunes does not convert standard video files to the iPod video format.

How the service works: "Customers choose any content currently available on a DVD and which iPod they want. TVMyPod then puts the content on the player and ships the Original DVDs along with the iPod restored to its original packaging."

"TVMyPod is not charging for its services yet, so customers pay only the actual cost of the iPod and whatever the price is on Amazon.com for their chosen DVDs."

"[Co-founder] Raghavan said TVMyPod will set prices when it rolls out its next offerings, which will include consumers sending in their own iPod and possibly a subscription service to keep the content refreshed.