The European Commission (EC) has revealed that it intends to spend £924m (€1bn) on upgrading and extending broadband Internet services in rural communities around Europe. The money will be distributed via the EU's existing Rural Development Fund.

It's estimated that 30% of Europe's rural population still do not have broadband access, a situation that the EU agreed to plug late last year as part of its European economic recovery plan. The money itself will come from its "unspent budget" covering the years 2009 and 2010.

The plan aims to make broadband networks available (100%) to everybody by 2010, which seems a little overly ambitious given the limited timeframe. Much like similar projects in the UK, which will be detailed later today, the principal idea is to help limit the current recession through investment and soften its negative impact.