Telecoms giant BT has bought online electronic products retailer Dabs.com for an estimated £30m.
BT is estimated to have paid £30m for Dabs.com
With around 75,000 customers a week, Dabs.com specialises in computer related goods, but also sells other items such as LCD TVs and Apple iPods.
BT said the purchase would enable it to increase its online sales of computer and other digital products to both consumers and businesses.
Bolton-based Dabs.com was founded by owner David Atherton in 1990.
It employs more than 200 people and has annual revenues of £180m.
"Dabs is a dotcom success story and one of the best companies in its field," said BT Retail chief executive Ian Livingston.
BT's push into online retailing will place it in direct competition with Dixons, whose owner DSG International announced earlier this month that it would disappear from the High Street to trade exclusively online.
"Dabs.com's outstanding expertise will boost BT's online power to sell innovative, value-for-money, communication and converged IT products and offer great service to a wide range of customers," added Mr Livingston.
"This purchase strengthens our online IT and digital products sales and service presence for small and medium-sized businesses as well as for consumer customers."