has teamed up with VoIP CyberPhone to offer The Firebox VoIP Cyberphone for £29.99.

The phone which comes bundled with Skype uses new VoIP (Voice over Internet Protocol) technology to allow you to make calls to other VoIP Cyberphones over
your broadband Internet connection.

For those still not sure what this means "VoIP" digitally converts your voice and transmits it via the Internet on to its final destination - be it a fellow Firebox VoIP CyberPhone owner, a landline telephone or even a mobile phone.

If the person you are calling doesn't have a VoIP telephone you can still use your Firebox CyberPhone to save money - calls to landline telephones, mobiles and overseas landline telephones can be made using VoIP technology from as little as 1.2p per minute.

Currently the CyberPhone software only supports PC however we've been informed that Mac software is on the way.

The CyberPhone will be available from in the next week.