The government of Tamil Nadu has announced a broadband project to connect all the 12,524 village panchayats in the state through optical fibre. The move comes after the central government accepted the Tamil Nadu government's proposal to implement the BharatNet project through the state government.

The state government will make an investment of Rs 30 billion from the central assistance for the project. The government will also set up Tamil Nadu FibreNet Corporation for this purpose.

Under the project, the government will provide high-speed internet services, including internet protocol television (IPTV) services, through the state-run operator Tamil Nadu Arasu Cable TV Corporation (TACTV). To this end, TACTV has received internet service provider (ISP) licence from the Ministry of Communications and Information Technology and has partnered with RailTel Corporation of India Limited.