There are two parts to this question, recruitment and selection, recruitment that helps generate a pool of talent, selection that evaluate & validate credibility of talent.
Recruitment: It will depend on the nature of talent you are sourcing, access to internet is pertinent for the success of your effort to attract talent. I think it is important to breakdown and understand your target market before choosing to invest in one media. Internet is surely gaining grounds specially in the Tech/ITES sector, however traditional sources such as print advertising, networking, referral schemes are as popular, in some cases internet enhances the effectiveness of the traditional methods.
Selection: More and more firms are using web based skills or personality assement tools, I personally think the future will be a best blend of both worlds, traditional interviewing technigues ( Behavioral, panel, face2face + web based assesment )
Hope this helps