Aside from home entertainment and leisure activities needing higher speeds, one way of overcoming the 'tyranny of distance' is what used to be called telecommuting. In other words, working from home but having enough speed / bandwidth to run video conferences with the rest of your team. Having run dev teams simultaneously spread across the UK, Ukraine, Thailand and Malaysia, access to good video conferencing made a real difference. Repeat that but substitute with Brisbane, Melbourne and Perth and you get the idea. And, of course, it's all very green with fewer commuter journeys, less pollution, fewer cars on the road etc etc
Not putting in fibre all the way is the most short sighted policy imaginable.