In-flight internet access is shaping up as a key battleground for Australia's two major airlines, with Virgin Australia announcing a trial of on-board Wi-Fi to match the service Qantas is close to launching.

Virgin on Thursday revealed plans to offer passengers Wi-Fi by connecting to Optus satellites on domestic and New Zealand flights and to global network providers Intelsat and SES for other international flights.

Virgin has also launched a new fare category that will give economy passengers more leg room, their own overhead baggage storage and priority boarding and security screening.

All 75 of Virgin's 737 aircraft will be reconfigured to fit 24 to 30 Economy X seats, which will have at least 7.6 centimetres extra leg room and be located in the first three rows of the economy cabin and exit rows.

The new product will be free for Platinum Velocity frequent flyer members and cost $29 for other passengers, and will be available by the end of May.