Tesco checks out the talent in a contest to challenge Cowell

Tesco is taking on Simon Cowell by launching an online talent show.

The supermarket giant is investing millions of pounds in a contest to be broadcast on the internet - a move that the backers believe will leave Cowell "quaking in his high-waisted trousers".

Recording booths will be set up in Tesco stores allowing wannabe celebrities to perform. The videos will be shown on the internet and voted on by the public.

The competition - called 1Click2Fame - is aiming to rival The X Factor and Britain's Got Talent, both vehicles for Cowell on ITV1. The contest willl be launched next month, with its first winner collecting £100,000.

The backers believe it will attract as many as 10,000 entrants, posting up their videos either via the internet or through one of the mobile booths, which will move from store to store. Tesco today said its involvement meant customers could have some fun while shopping.

Rob Salter, Tesco entertainment director, said today: "We are delighted to be part of this exciting new project. Tesco is always looking at ways to give customers a little bit extra and this is a great opportunity to be at the forefront of new entertainment technology while giving people some fun at the same time." The contest will be run each month - usually with much smaller prize money than the inaugural £100,000 first prize -leading to an end of year final which is likely to coincide with the climax of The X Factor.

There are five categories - music, comedy, dance, variety and street performance, which could include free-running.

Jonathan Lakin, chief executive of Enrich Social Productions which is behind 1Click2Fame, said: "The booths will make access to 1Click2Fame easy possible. No one will have to stand in the freezing rain waiting to audition."

1Click2Fame has already attracted some acts through word of mouth. Its promoters are convinced it will "change forever the way artists are discovered, promoted and made famous".

Entry and voting are free.