Watson is one of very few British politicians who seems to care about privacy, surveillance, and internet issues. He was also a big part of the "phone hacking" case against the Murdoch press. It's a shame we don't have more politicans like him. And it's not even a partisan issue - it doesn't surprise me that the Conservatives want to bring in more surveillance and internet laws, but even their biggest opponents on the left rarely oppose it.
>is this guy eventually going to replace Corbyn?
Not likely. He seems more of a background figure who does best focusing on the issues he cares about, and not so much of a leadership type. He's also more in the 'centre ground' of British politics, and has been quite critical of Corbyn over the past few years. It's likely that the next Labour leader would be someone with similar views to Corbyn.