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According to Mashboxx, this is the first deal of its kind. The agreement allows for music copyrighted by Sony BMG to be legally traded and purchased via searches performed on major existing file sharing networks. If true, it makes Mashboxx the first desktop file sharing application in the world authorised by a major content owner.

Under the terms of the deal users will be able to 'preview' an entire track, for a limited number of plays, before deciding to purchase. The music will be priced at $0.99 each. Mashboxx says that the legal application is expected to begin beta testing soon with

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testers drawn from current users of the web site.

In order to track music as it is passed around its network, Mashboxx will use digital 'fingerprinting' technology developed by Snocap, a company founded by Shawn Fanning, who created Napster, the original illegal P2P service.

Mashboxx says it is currently talking to other major and minor labels to cut similar deals. The site says it will make further announcements when the deals are signed.

Whether this deal would have been signed had Grokster won is a moot point. However, Mashboxx CEO Wayne Rosso is bullish about the prospects for a new settlement between p2p networks and the music majors.

'Sony BMG has done the heretofore unthinkable: embrace file sharing,' he told Reuters. 'We at Mashboxx are clearly overjoyed because this is a watershed moment in the evolution of the digital music marketplace. We hope it will be the harbinger of a brighter future for content owners, p2p technology and, of course, users.'