Microsoft launches iPod rival

Microsoft has set its sights on Apple with the launch of a new personal media player.

Creative Technology and iRiver International will release the new devices in the late summer. Samsung, Sanyo and ViewSonic will also be bringing out models.

Microsoft's Portable Media Centre software will allow playback of sound and video.

To transfer content to and from a device users will need to have a PC running Windows XP. Uploading data will be possible through a future version of Windows Media Player.

The anti-iPod devices will support all Microsoft's media standards and MP3s, but not other popular standards such as Apple music files.

The media players are expected to be priced at around £400 for 40GB of storage, but the price is likely to drop as volume production begins.