INTEL has launched a free communications software programme for long distance telephone calls on the Internet based on an industry standard.

Designed to run under the Windows 95 operating system, the new software is based on a standard adopted in March by 120 companies, including Microsoft, the world's leading software producer.

The introduction by Intel, the world's leading microprocessor maker, and its wide industry acceptance increases the chances the new standard would become nearly universal, observers said.

The common standard will allow users of different computers and different telephone software to talk to each other and exchange data, sounds and images over long distances at the cost of the local telephone connection to the Internet.

The Intel product, called an "applet", is the latest sign of the Internet's growing competition for telecommunications corn panics, analysts said. "The dynamics of this Internet phone market are about to change forever," said Mr Jeff Pulver, an analyst with Pulver.com.

Internet telephone use until now has been limited to a few, and the technology had required identical software for both the caller and receiver.

To promote the new common standard Intel will make a test version available at no charge on its World Wide Web site from tomorrow.

Microsoft plans to introduce its version of the long distance software in September.