They are lagging behind their London counterparts by a couple of years, according to a 'new media' agency.

Precedent Communications says that Welsh firms should start to see their websites as money-spinning resources, rather than something that costs them money.

A spokesman told icWales that websites should be used to make money, save money and increase brand awareness. He said Wales had far fewer firms using this strategic approach than there were in the capital.

The comments follow last month's publication of State of the Nation: eBusiness in Welsh SMEs 2006-07 by Opportunity Wales and Cardiff University, which showed that few smaller firms in Wales had an ebusiness strategy.