Broadband access in South West England is to increase from 99% to 99.99% following a £1.3m cash injection.
The South West Regional Development Agency (RDA) is investing the money to upgrade 19 rural telephone exchanges.
The money will mean outlying businesses will be able to get access to high-speed internet connections.
The agency said money will ensure there was not a rural "digital divide" and said more money would be put aside to reach 100% access in the region.
The majority of the exchanges being upgraded are in Devon - 11 in total - with three in Somerset and two each in Wiltshire and Gloucestershire.
In Cornwall, North Tamerton will be converted alongside St Martins on the Scilly Isles.
Fabian King, from the South West RDA, said: "Remotely located companies need to be able to conduct business on a level playing field and not be at a disadvantage to their urban competitors."