Newburgh is one of four towns in Fife to be included in the latest phase of the £410 million Digital Scotland Superfast Broadband programme.
Homes and businesses in the area will have access to high-speed fibre broadband from spring 2015.
The new infrastructure will mean multiple users in a home or business signing up to the service will be able to access the internet and download and share large files at the same time, and more quickly than ever before.
The Digital Scotland Superfast Broadband programme aims to provide fibre broadband infrastructure to areas not covered by commercial deployment, with the aim of ensuring 95 per cent of premises in Scotland will have access to fibre broadband by the end of 2017/18.
Already, Auchtermuchty, Balmullo, Ceres, Falkland, Ladybank, Leuchars, Newport, Peat Inn, St Andrews and Tayport have been included in the programme.
The rollout of high-speed fibre broadband is being delivered on the ground by BT’s local network business, Openreach. BT is also investing £126m in the programme, in addition to its £2.5bn UK commercial rollout of fibre broadband.
Further funding is coming from the Scottish and UK governments, local authorities and the European Regional Development Fund.
Deputy First Minister Nicola Sturgeon said: “It’s fantastic to see the project extending into places like Newburgh which will benefit greatly from the economic advantages fibre broadband brings.“
Councillor Lesley Laird, Fife Council’s deputy leader, said the Council was investing £2.8m in the project because it was aware of the benefits faster broadband could bring.
She added: “As well as helping Fifers access a range of Council services, it gives local companies, large and small, the chance to do business more effectively nationally and internationally.”