I think that the Eurostar illustrates a point here.
Over short distances (<700 miles) a high speed train is actually faster than a plane when you take into account time to get to the airport, check in etc. And it drops you off downtown.
Hopefully our Government (Australia) will shortly approve a TGV standard service between Canberra and Sydney to be built in the next few years. If approved it will almost certainly be extended to Melbourne and Brisbane.
I can't wait.
cheers Peter