Phospholipid synthesis was investigated in human Y79 retinoblastoma cells, a cultured cell line of retinal origin that retains many neural characteristics. Ethanolamine is taken up by Y79 cells through a high-affinity transport system and is utilized to synthesize ethanolamine and choline phosphoglycerides. High-affinity ethanolamine uptake has a K'm of 40.6 microM and a V'max of 1.06 nmol/min/mg protein, and the process is Na+ dependent. Choline is the only compound tested that reduced ethanolamine uptake, and very high choline concentrations were required to produce this effect. The cells incorporate ethanolamine into phosphatidylethanolamine and ethanolamine plasmalogen at equivalent rates, and the rates of catabolism of these phospholipids are similar. Only a small quantity of ethanolamine is incorporated into phosphatidylcholine, but the amount is not reduced by the addition of choline. Serine is incorporated into phosphatidylserine, which then is converted to phosphatidylethanolamine. Ethanolamine reduces but does not abolish this conversion. Unlike ethanolamine, only a small amount of serine is incorporated into ethanolamine plasmalogen. It is possible that the ethanolamine high-affinity uptake system is necessary to provide a neural cell with enough free ethanolamine for ethanolamine plasmalogen synthesis.