Tesco has announced that it will go against Apple with the launch of Tesco Digital, described as "a one-stop shop for everybody's entertainment needs".

The retailer's first offering from the new service, launching in May, will be the availability of music downloads in MP3 format - Tesco's current music download service is only available in Windows Media format.

The move, apparently the first of its kind by any supermarket, is "just the beginning" of a wider Tesco Digital strategy which will offer TV episodes, films and games in the near future.

Tesco Digital will initially offer customers a choice of over 3.3 million music tracks, 1.6 million of those in MP3 format - with over a hundred free playable Flash games available too.

The retailer plans to have all music on the site in MP3 format by the end of the year.