This morning it announced that it will stop stocking CD singles on its shelves this summer, and now Woolies is going digital.

There were, in fact, hints this morning, but now the highstreet retailer has officially announced it is going to try and make a name in the digital downloads market.

Woolies is going to launch a website specifically for digital downloads for mobile phones.

Woolworths new site, which uses sister company EUK’s digital delivery platform, will offer ringtones, wallpaper and Java-based games for mobiles.

Early reports suggest that customers will also be able to download music, games and film and TV content to their PCs.

Mobile content will be priced from £1.50, but, to encourage people to the site, the top ten music tracks will cost 59p for the first week the site is live, with all other tracks from 77p.

Woolworths commercial director Jim Batchelor said: "Digital downloading is now the true customer choice for listening and purchasing single music tracks. CDs are alive and well for album sales, but unfortunately the physical singles market is in terminal decline".

More details to follow.