The launch follows this week's unveiling of video-on-demand services from the BBC and ITV.
Tiscali is offering its Movies Now TV VOD service, which includes more than 500 films and specialist entertainment programmes, via its website, tiscali.co.uk.
Users can choose to rent or download to own content, with rental prices ranging from 99p to £3.49.
The online library includes films and sports events such as The British Open Golf and National Geographic programmes.
Download rentals have a seven-day window for viewing once the download is completed.
Once playback is started, the viewer can watch the film or programme as many times as they like, within a 24 or 48 hour playback window, on their laptop, PC or TV if it is networked to their PC.
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