NORTH-EAST firms have been challenged with embracing e-business before they lose-out to national or international competitors.

At the official opening of the Washington premises of computer network and e-business specialist Knowledge IT, the chief executive of Sunderland City Training and Enterprise Council (TEC) said companies could no longer think locally.

"Forward-thinking companies like Knowlege IT have adapted to remain competitive," said Jules Preston, head of Sunderland's TEC.

"They have recognised the way that economies are changing and have met the challenge head on.

"And just as importantly they haven't forgotten certain business fundamentals; that it is people who design, install, maintain and ultimately do business in an electronic world. In such a high-tech world training is as important as in the past."

Knowledge IT recently relocated from premises in Chester-le-Street to a purpose-built facility in Washington, representing an investment of £750,000.

The £5m turnover company, which employs 35 people, is now undertaking a recruitment programme to expand its business support services.

The new premises also boast extensive training facilities and presentation rooms.

Martin Coleman, of Knowledge IT, said: "With our extensive expertise in e-business we are anticipating significant growth.