British supermarket chain Tesco began offering broadband Internet access to homeowners today.
Tesco said its 512-kilobyte unlimited broadband service was available for £19.97 sterling (€30) a month across 700 stores in Britain and on its company website.
A comparison of prices provided by Tesco showed that rivals such as BT, Tiscali and AOL charged £24.99 (€36.95) for service with similar download speeds.
Locked in a battle for market share, Britain's ISPs have been aggressively discounting subscription fees to entice would-be customers.
Once considered a laggard, Britain now has one of the fastest-growing broadband markets in Western Europe.
But analysts have begun to question the way British ISPs have expanded into the market, noting that steep discounting is eroding the high average revenue per user normally associated with broadband services.
Broadband is crucial to attempts by telecoms firms to offset falling revenue in their traditional fixed-line phone business.