Wrecsam's finest journalist in exile has a pretty damning report here on the state of the Welsh media. The latest plans to merge the Daily Post and Western Mail's management teams seems to point to a merger of the only two daily morning papers serving Wales.
At first glance, a "Western Post" makes sense - the Western Mail mainly serves the South and the Daily Post mainly serves the North and they're both owned by the same company, Trinity Mirror. Except that Trinity Mirror has a history of cost-cutting by sacking journalists and is interested in the move as a cost-cutting exercise rather than increasing media coverage of Wales.
The lack of competition to the Trinity Mirror group (which also owns many Welsh weekly newspapers) impoverished the Welsh newspaper industry in the same way that ITV's steady demise is allowing the BBC to continue its monopoly on the radio and television news agenda.
The thriving online community in Wales has provided something of an alternative media but it's far from a mass media - what's needed is a national newspaper for Wales with the clout of The Scotsman, for example. A quality tabloid would also be good but I don't see that happening anytime soon.