Italy’s largest phone company Telecom Italia said on Monday that it will sharpen its focus on internet services including the sale of media content online as part of a reorganisation of the fixed-line and mobile units.

According to reports, Telecom Italia (TI) is due to debate the plans in Milan this afternoon. The reports, which do not name sources, say Telecom Italia’s board will not be considering asset sales At the weekend, the Italian newspaper la Repubblica reported that TI had plans to sell its mobile arm. Shares in the company have been suspended ahead of today’s meeting.

TI is known to have been in negotiations Rupert Murdoch’s News Corp. to provide content over TI’s network. It has been speculated that such a move could lead to the sale of its mobile units in Italy and Brazil, la Repubblica said.

On Sunday another Italian daily, Il Sole 24 Ore, said TI could raise Eur35bn if it sold its mobile unit and Eur6bn from its Brazilian arm. The sales, if the speculation is true, could ease the company’s Eur40bn debt.

Other reports – mainly from Italy – suggest that rival European telecoms players as well as American private equity company The Carlyle Group, may be interested in buying TI’s mobile arm.