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Prime Minister Kevin Rudd said the Government would lead the development of a national fibre-to-the-home broadband network up to "100 times faster than what many people use now".
The ambitious project will take up to eight years, cost $43 billion, create tens of thousands of jobs and will see fibre-optic cable laid out to individual houses.
The fibre-optic network, providing speeds of up to 100 megabits per second, will cover 90 per cent of Australians, while the rest will have access to a mix of wireless and satellite connections.
This new super fast national broadband network is the single largest national building project in Australia's history."
Australia's third largest internet provider, iiNet, has withdrawn from the Government's internet censorship trials, saying it could not "reconcile participation in the trial with our corporate social responsibility".