The first phase will also involve a group of 10,000 schools, to be connected under the SchoolNet project, scheduled for launch next month.

Another group, Halim said, will be made up of local universities and research institutions, and they will be linked via the Malaysia Research and Education Network (MyREN), a high-speed private network.

"MyREN's aim is to initiate growth and encourage collaborative partnership projects for research and development. It will be integrated with other regional and international research and education networks," he told Computimes in Kuala Lumpur on Tuesday.

Other communities identified under the National Broadband Plan include the trade and customs facilities community connected under the Dagang Net Project, and hospitals and clinics, which will be linked through the Telehealth Network.

According to Halim, all users under these selected community initiatives are expected to be linked to a broadband network by end of next year.

Meanwhile, the general public can also expect to benefit from improved broadband services now available via the asymmetrical digital subscriber line (ADSL), wireless local area network (WLAN) or wireless fidelity (Wi-Fi), and integrated service digital network (ISDN), he said.

Halim said a Government-backed push for broadband in the country will drive service providers to improve on broadband infrastructure and services to cater to a growing demand of the service.

He added that the reduction of broadband Internet access charges for commercial and residential users by Telekom Malaysia has created a surge in demand for this service and thus the service provider, as a business entity, must be able to respond accordingly to market changes.

Apart from leveraging existing Government-led initiatives, the National Broadband Plan will also look into improvements and upgrades in terms of broadband infrastructure and systems.

"It is a moving plan, and the strategy beyond 2004 will be based on demand. For example, when there is a requirement that the communities be linked to one another, then they will. Hence, it is important that private networks linking users within the selected communities share a common infrastructure," Halim said.

He added that as it is the Government's aim to empower the society, broadband access would eventually reach the whole nation, even rural areas. The local penetration of broadband, defined as communications technology such as DSL, direct broadcast satellite and third-generation cellular phones that can provide support for fast and always-on access to a range of communications services and applications, is still low compared to other countries in Southeast Asia, Halim said.

"Yet such a network is needed to accelerate transformation into a k-based society and economy," he said, adding that last year Malaysia's broadband penetration rate was 0.08 per cent compared to Singapore at 6.13 per cent and South Korea at 19.29 per cent.