Tiscali intends to launch a mobile phone service next year, allowing it to offer mobile telephony services with its broadband bundles.
The service is due to be launched in the last quarter of this year and will see Toucan Mobile, which the broadband provider acquired last year as part of the Pipex deal, extensively re-branded and repromoted.
Mary Turner, chief executive of the Italian ISP, confirmed the move and said that the company is currently in talks with the UK's mobile phone operators with a view to renting space on their networks.
She said: "The assessment is not if, it is who and when. The business case has already been approved by the board."
The move would clear the way for Tiscali to offer quad-play packages - including TV, voice calls, broadband and mobile services - as it bids to increase market share in the ever more competitive UK broadband market.
Currently only Virgin Media are offering a similar package in the UK.