Minister for Communications Pat Rabbitte has said the Government is committed to providing broadband speeds of at least 30 megabits to every citizen in the State by 2015.
He said up to €175m of State funding will be spent on ensuring that the 30% of the population, for whom it is not viable for commercial operators to serve, will receive next generation broadband.
Another €175m will be spent by telecommunications companies in improving services throughout the country.
By 2015, under the new National Broadband Plan, 50% of the population will have speeds of between 70 and 100Mbps, a second section will have speeds of 40Mbps or better and the third band, where the private sector is not viable, will have speeds of 30Mbps.
Speaking RTÉ's Morning Ireland, Mr Rabbitte said the Government acknowledges there is a problem outside urban areas and State intervention is necessary where the market fails.
He said broadband was a critical piece of infrastructure that can help attract investment and employment, and has benefits in health, learning, entertainment and citizenship.
Mr Rabbitte said the plan follows detailed consultations with leading telecommunication companies, and includes other measures involving ongoing investment in the sector, the removal of barriers, demand stimulation and the use of State buildings to facilitate the rollout of technology.
TIF (Telecommunications and Internet Federation) Director Torlach Denihan said that immediate action was needed to meet the targets set out in the plan.
He said that industry was on track to reach what he described as 'ubiquitous access' to basic broadband by 2013 and access to speeds of up to 100mps in 50% of households by 2015.