Design of consistant and eco-friendly methods for the synthesis of silver nanoparticles (AgNPs) is a significant forward direction in the field of application of antibacterial bionanotechnology. One among the available options is hydrogel templates, which are highly useful to achieve this goal. This investigation involves the development of poly(acrylamide)/poly(vinyl alcohol) hydrogel-silver nanocomposites (HSNCs) to achieve AgNPs of ∼2-3 nm size in gel networks. The nanocomposite synthesis process is quite convenient, direct, and very fast, and the obtained hydrogel AgNP composites can be used for antibacterial and wound dressing applications. All the nanocomposite aqueous solutions have shown absorption peaks at 420 nm in UV-visible absorption spectrum corresponding to the Plasmon absorbance of AgNPs. X-ray diffraction spectrum of the HSNC exhibited 2h values matching with silver nanocrystals. Transmission electron microscopy images of nanocomposites represent discrete AgNPs throughout the gel networks in the range of 2-3 nm. The developed nanocomposites were evaluated for antibacterial application on E. coli. © 2009 Wiley Periodicals, Inc.