Eircom has announced it is to spend €100m on the first phase of a rollout of fibre-based broadband to 100,000 homes and businesses.

The first phase will be complete next summer and Eircom hopes to be in a position to reach one million customers within four years.

The upgraded fibre network will be open to other telecom operators.

Last week the company said it would embrace internal reforms to boost access for other providers.

The company also plans to launch broadband television services, and pilot schemes will begin next year.

These will include video on demand and social media via television.

Minister for Communications, Energy and Natural Resources, Pat Rabbitte, welcomed Eircom’s announcement.

‘Ireland's significant capacity to innovate its way through the current challenges has been further boosted by today's announcement,’ said Mr Rabbitte.