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Distributed coding is a new paradigm for video compression, based on Slepian and Wolf's and Wyner and Ziv's information-theoretic results from the 1970s. This paper reviews the recent development of practical distributed video coding schemes. Wyner-Ziv coding, i.e., lossy compression with receiver side information, enables low-complexity video encoding where the bulk of the computation is shifted to the decoder. Since the interframe dependence of the video sequence is exploited only at the decoder, an intraframe encoder can be combined with an interframe decoder. The rate-distortion performance is superior to conventional intraframe coding, but there is still a gap relative to conventional motion-compensated interframe coding. Wyner-Ziv coding is naturally robust against transmission errors and can be used for joint source-channel coding. A Wyner-Ziv MPEG encoder that protects the video waveform rather than the compressed bit stream achieves graceful degradation under deteriorating channel conditions without a layered signal representation.