The sell-off of the federal government's high speed communication network has taken a step closer with private sector players hired to carry out a scoping study on a possible deal.

But the Howard government sized the Commonwealth's networked communication system up for outsourcing in 1997 and could not make a business case stack up.

Former public servants linked with the development of the Intra Government Communications Network (ICON) 20 years ago say they cannot see how the government could get value for money from selling an asset that was developed specifically to undercut private sector prices.

Finance Minister Mathias Cormann announced on Tuesday that accounting giant KPMG had been appointed as business adviser and King & Wood Mallesons hired as legal advisers for the study on a possible sale of ICON.