A novel distributed algorithm for blind macrocalibration of large sensor networks is introduced. The algorithm is in the form of a system of gradient-type recursions for estimating parameters of local sensor calibration functions. The method does not require any fusion center. The convergence analysis is based on diagonal dominance of the dynamical systems with block matrices. It is proved that the asymptotic consensus is achieved for all the equivalent sensor gains and offsets (in the mean square sense and with probability one) in lossy sensor networks with possible communication outages and additive communication noise. An illustrative simulation example is provided.