BSkyB has revealed details of its new Picnic broadband bundles, which offer telephony, digital terrestrial TV and broadband access.
Picnic will use the use the same the Easynet broadband network used by Sky and will offer speeds of up to 16Mbps for the 70 per cent of the UK that is covered by Sky's undbundled exchanges.
The launch date of the service depends on approval from Ofcom of Sky's plans to deliver the TV facet of the service and is as yet unconfirmed.
The television offering includes most mainstream Sky channels including Sky Sports 1, Sky One and Sky Movies as well as a children's channel and access to Freeview channels.
James Murdoch, Sky chief executive, said: "The launch of Picnic will be a big step forward for customers who are hungry for value and simplicity. We are looking forward to the conclusion of the regulatory approval process so we can get going delivering a great service and real savings to customers."