High-street retail giant Tesco plans to sell iPods and other MP3 players in its larger stores.

The move puts Tesco in direct competition with electrical stores, such as Dixons.

The Retail Bulletin reports that, "an increased range of digital products will be introduced into 200 Tesco stores over the next week, with MP3 players available in 69 stores."

The company also plans to introduce digital cameras and WiFi equipment within its stores.

Matthew Finch, electronics buyer at Tesco, said, "we expect new customers to be attracted to the digital trend, many for the first time."

Asda also stocks iPods in certain stores.