Nikon is expected to launch a digital camera with a built-in projector according to numerous sites on the Internet.

Although rumours first started appearing last week, Nikon fan site Nikonrumours is now claiming that the camera company will launch a new model called the Coolpix S1000pj. This will possibly be the first digital camera with a built-in projector that lets users project photos or movie clips on any flat surface at up to 40 inches in size.

According to the site, which has had further images from an Australian photography site, the new camera will feature an effective resolution of 12.1 megapixels and a 5x zoom-Nikkor lens with 28mm (equivalent) wide-angle coverage.

Nikon refused to comment on the rumours.

We will keep posted.