In Gram-positive bacteria, cell-to-cell communication mainly relies on extracellular signaling peptides, which elicit a response either indirectly, by triggering a two-component phosphorelay, or directly, by binding to cytoplasmic effectors. The latter comprise the RNPP family (Rgg and original regulators Rap, NprR, PrgX and PlcR), whose members regulate important bacterial processes such as sporulation, conjugation, and virulence. RNPP proteins are increasingly considered as interesting targets for the development of new antibacterial agents. These proteins are characterized by a TPR-type peptide-binding domain, and except for Rap proteins, also contain an N-terminal HTH-type DNA-binding domain and display a transcriptional activity. Here, we elucidate the structure-function relationship of the transcription factor ComR, a new member of the RNPP family, which positively controls competence for natural DNA transformation in streptococci. ComR is directly activated by the binding of its associated pheromone XIP, the mature form of the comX/sigX-inducing-peptide ComS. The crystal structure analysis of ComR from Streptococcus thermophilus combined with a mutational analysis and in vivo assays allows us to propose an original molecular mechanism of the ComR regulation mode. XIP-binding induces release of the sequestered HTH domain and ComR dimerization to allow DNA binding. Importantly, we bring evidence that this activation mechanism is conserved and specific to ComR orthologues, demonstrating that ComR is not an Rgg protein as initially proposed, but instead constitutes a new member of the RNPP family. In addition, identification of XIP and ComR residues important for competence activation constitutes a crucial step towards the design of antagonistic strategies to control gene exchanges among streptococci. Bacterial cell-cell communication systems are based on the secretion of signal molecules. These quorum-sensing systems allow bacteria to coordinate genes expression according to the density of their local population. In Gram-positive bacteria, intracellular quorum sensors regulated by re-internalized signal peptides control the expression of genes involved in essential bacterial processes such as horizontal gene transfer, biofilm formation, sporulation or virulence. In most streptococci, including pathogenic species, the ComR regulator and its cognate signal peptide ComS activate competence for natural DNA transformation, a major mechanism for horizontal gene transfer and antibiotic resistance acquisition. To elucidate the molecular mechanism of ComR activation, we performed the structure-function analysis of the ComRS system from S. thermophilus. We solved the crystal structures of the apo form of ComR and of the complex with XIP, the mature form of ComS, and DNA. We showed that peptide binding shifts the protein from an inactive monomeric state, characterized by the sequestration of the DNA-binding domain, to an active dimer. This idiosyncratic mechanism was confirmed by in vitro interaction measurements and in vivo transcription assays using ComR mutants and XIP variants. These results may be of special interest for the future design of new antimicrobials targeting antibiotic-resistant pathogens.