Sky Muster, the first of the two satellites that will comprise NBN's Long-Term Satellite Service, has been successfully launched from Guiana Space Centre in South America.
"With the launch of Sky Muster, we're one step closer to changing the digital face of our nation," NBN CEO Bill Morrow said in a statement.
"The ability to video-conference friends and family, study courses online and visit doctors from your lounge room will all be possible in areas which have traditionally struggled to access basic internet services like online banking and shopping.
"Many homes and businesses in regional and rural Australia still rely on dial-up level speeds and have little or no access to a commercial broadband service – this satellite will help to close the divide and ensure no-one gets left behind."
The two geostationary satellites will offer total capacity of 135 gigabits per second, with 25/5Mbps wholesale speeds available to end users.
The second satellite is expected to launch next year.
The service will cover more than 400,000 premises — 3 per cent of the premises slated to ultimately be connected to National Broadband Network services — and replaces NBN's Interim Satellite Service.
Commercial services are expected to launch in the second half of FY16.