CDP-diacylglycerol resides at the branch point of glycerolipid biosynthesis as precursor of both the phosphoinositides and phosphatidylglycerol. The discovery of the phosphoinositide signal transduction pathway and the recognition of its prominent role in intracellular communication has focused new attention on CDP-diacylglycerol synthase. As a rate-limiting step in this pathway, it is a likely target for regulation. Exploration of this possibility will be facilitated by the recent cloning of mammalian CDP-DAG synthase.