The New York herald., 1871-03-19
OCEAN IELE SRAPH CABLES.

To THE EDITOR OF THE HERALD:--
Al article wnicn appears In your impression or
the oh February in reference to the lment to
the Ocean Telegraph Cable bill, reported to the
Senate by the chairman of the Committee on Fore gu
Relations, making IT unlawful for two or more caDe
companies to consolidate or unite their Interests,
has attracted much attenton In commercial circles
in London.
The consolidation of the Anro-American Telegraph
Company with The French Atlantic IA dwelt upon 10y
the writer OF tne article example Of the advan.
tages winch flow iron such a measure, having
SPECIAL reference to economy in management. Some
of those who are acquainted with the history OF
both companies and OF their present arrangements
are NOT at all satisfied thai any such Daleria reduc
tlon IN expense has been enected has been ind
Gated. the repairs oil the cables of 1865 and 1855,
which have been silent Tor 50 many montas, were
undertaken by the ''consolidatedf companies IN
snip buiit originally Tor the Frencl Atantic Con-
pany and wln their own stan. rne expedition
turned Quito ne failure ano ultimately, al very
mtuh increased expenditure, they nave employed
tDc Telegraph construction and Maintenance Com
pany To do the wofa. 1his was one OF the economies
Of consolidation" Again, win the exception of
few reductions the oiliees In the way OF clerks,
there has been no substantial decrease IN Tue WORK
in cost of the Ines There are two trafc managers
IN London, whose salaries nave tot been uimnshed
but vegy well .ne consolidated companies aiofd
to pay these. Ter they have doubled Their tarln
since the accielt TO the cables OF 1868 and
1906. The pun ic are promised recurrence 60 the
reduced .arin whfch sprung oui OF the wholesome
Al
proDabe that the united management may fnd eX.
cellent reasons with the luli concurrence OF The
shareholders Tor adher.ng to the present rates. So
much Tor consolidation
You are aware of the project known as Lord Dnl-
ley's eacle, winch has schemed 10 go direct IRON
England to Rhode Island. We had il before us
here not publicly, but IN q hali-and-haf sort OF
way. lest year. The concession for landing in
America, Ii Is said Is now m the hands OF Huoper's
Telegraph Construction Company, under whose new
and vigorous auspices project is being endeavcrea
to De launched MT Chadwick, M r.. the principal
T. lV n
London, having taken II under his financial wings.
The promoters OF the North Atlantic Telegraph
Danes always are, nave TONED purse with Mr..
Chadwick III financing, on the understanding that il
they should next year. or III any future time. lay a
cable from the Farce Islands to Iceland. ana SO on
through the Straits OF Belesle 10 Gaspe Head lhav-
Ing peculiar statutabe rights from the Cana Ian
governmental that both companies should JON IN the
receipts ana be consolidated" like the Anglo
American ana french companies.
Witn TINS contemplated arrangement | would ask
you whether the American pubic are likely to get n
reuuccd tarlhY thnk you VIII find no difficulty in
arriving AT the conclusion that tiey will not.
Cable making Is vers expensive, and So is cable
layms-.some f3o0 mile between botli-ani until
they are cheapencd You are hkey to pay as much,
II not than YOU do now, for your messages TO
anu from England The days, however, OF this dear
proce>s as well ~ those OF the consolidated
monopoly, are numbered; for patents have been
taken out by two ol the most distinguished OF
EngIsn electricians Tor the manufacture or a
cIcaper form OF cable which, before loar. win he
submitted for the consideration OF American
capitalists who viii be asked whether they Will lay
a
price %! the existing lines. People IN London be .iu
To think that II IS high time for New York to
orig nate aud carry out an independent cable COM
pany, ior England has done her part already, ana
believe, one, welldevlsed project be properly
pnt before commercial men in America they viii
support II.
With ali your wen known inventive and practical
power III America, how Is u that a telegraph
structlon company OF your own has not sprung up
In or your coast manufacturing towns is 10
possiple that gutta perca asd India rubber can be
imported only INTO Engiands and IS 1t to be for one
moment credited, with n great mercantile steam
marine Ike yours, and With such sailors as you
have, that you cannot lay and pick up cable as
well as we cam
! hope sir that this statement viii receive con.
sdcration nom the thoughtful parties who are sup
porting the amendment and that iG WILL strengthen
them In their views.
shall watca with great interest any discussion
wncG may place Oh tue SUBJECT, and II YOU viii
permit me propose, ~ o SUBSEQUENT letter. TO tell
you about the new form Of cable 10 which have
alluded upon the sGcccssui subnefgencc OF which
viii come Increased :elcgraphc laciltc5 and, above
gll, = real reduction in the tarin.
LONDON Feb. IL, lb7l. \. \. z.