Competed with Villa playing in claret (8)

I believe the answer is:

rivalled

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'competed' is the definition.
The definition and answer can be both related to competing as well as being past participle verbs.
Perhaps they are linked in a way I don't understand?

'villa playing in claret' is the wordplay.
'playing' indicates an anagram.
'in' is an insertion indicator.
'claret' becomes 'red' (red wine).
'villa' is an anagram of 'ivall'.
'ivall' going into 'red' is 'RIVALLED'.

'with' is the link.

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I've seen this clue in The Guardian.

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