BT has bought online IT and technology retailer, dabs.com, for an undisclosed sum.
A spokesperson said the motivation for the acquisition of one of the country's best-known online IT suppliers was BT's desire to increase its online presence, selling direct to customers.
He added that dabs.com would not be re-branded, but the Internet retailer would benefit from BT's large market presence and range of communications and networking products.
The dabs.com website currently offers around 15,000 products to more than one million registered online customers across the U.K. The dabs.com business now becomes a wholly owned subsidiary of BT.
Ian Livingston, chief executive of BT Retail, said: "Dabs is a dotcom success story and one of the best companies in its field. 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."
"The combination of our expertise in online retailing together with BT's brand and product and service heritage offers tremendous opportunities," claimed Jonathan Wall, marketing director at dabs.com.
BT's challenge with the acquisition is to integrate Dabs.com as a cross-selling opportunity, something the company has not shown much flair for in the past.