Online advertising revenue reached a record high of $16.9 billion in 2006, according to the IAB and accounting firm PricewaterhouseCoopers, which released its 2006 internet advertising revenue report.

The 2006 numbers represent a 35 percent jump over the previous year, and were fueled by strong fourth quarter results of $4.8 billion.

"Interactive advertising revenue continues to show solid growth as advertisers and agencies recognize that it is a medium that can uniquely affect consumer behavior from product awareness, to purchase intent, to actual purchase and then brand loyalty," said Randall Rothenberg, president and CEO of the IAB. "We have every confidence that this growth trend will continue as marketers allocate more of their total marketing dollars to interactive and the industry delivers effective and innovative platforms for connecting with consumers."

According to the report, search, display classifieds and lead generation all continue to grow at a strong rate. Consumer-focused advertising represents the largest section of online ad spending.