CityFibre Holdings has announced a new project designed to bring next-generation broadband to residents and businesses in York.
The council and CityFibre are planning to build a city-wide network using the 103km fibre optic ring constructed during 2011, which has already connected 110 sites in the city.
Schools, council buildings and York NHS sites are already reaping the benefits of super-fast broadband.
James Alexander, Leader of City of York Council, said high-speed internet access is "essential for success in the modern world".
"Now we want to take this to the next level to allow York's business community to benefit from this super-fast digital network to help them develop new markets, attract new customers and be more competitive on both a national and international level," he stated.
"We want York to become a template for the type of city-wide fibre networks that are so badly needed by the UK's towns and cities to help them overcome their challenges and thrive in a digital service economy while operating within the tightest budgets for a generation."
The council is aiming to ensure 95 per cent of all businesses in the city have access to minimum connection speeds of 25Mb broadband the end of 2014.