Dixons has launched a new voice over broadband service that allows free calls to any UK landline for the first 12 months.
The Freetalk service is set to compete with the likes of Skype, Vonage and BT in the growing internet telephony market.
What makes the Dixons service unique is that users simply plug a box into their broadband connection and can use a normal phone to make calls.
With the Skype service, for instance, users have to switch on their PC and wear headphones to make calls.
Once the free 12-month call period ends, Freetalk charges cheaper line rental than Vonage, which also bundles free calls in its standard line rental package. The Freetalk service costs £6.99 a month, while Vonage currently charges £9.99.
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However, the Freetalk broadband connection box costs £79.99.
Dixons said it was aiming to sign up 500,000 users to its service within the first 12 months, with the help of its high street shops.