The Indianapolis sentinel. [volume] (Indianapolis, Ind.) 1880-1904, 1885-04-07
THE TBLEPaoNR BILL.

Bill No. Al, introduced by Representative
Williams. requiring telephone companies to
reduce the rental of single telephone to
$500 per month, and where two or
more are used by one party the rental not to
exceed 81 30. The bill further provided that
the tolls charged for single connection with
neighboring towns shall not exceed fifteen
cent?. 1t is not our purpose to offer any
suggestions or stale any facts pertaining to
the subject that would be considered detri-
mental to the interests of the people OF the
entire State. Such q statement of facts as
may be given can be substantiated to such
an extent as TO satisfy all concerned that
the subject is one on which we are perhaps
better advised than the few Representatives
who opposed the bill.
The first objection urged against its passage
was that as the telegraph company charged
twenty-five cents for ten words, it was un-
just to reduce telephone tolls to fifteen cents.
The gentleman Directing should frat con-
slider the cost Of building and operating tele-
graph lines and compare it with the expense
of the telephone service. He should further
understand that the telegraph company nav
ing a monopoly in email towns charge what
they please.
It costs twenty-five cents to telegraph ten
words between any two nelghboring towns
In the State. But residents of Indianapolis
can telegraph to any competing point in the
Eastern or New England States for cent
word.
II this is practicable where large force OF
skilled operators are employed and tele-
grams handled from two to four times at in.
termediste repeating offices, is it not con-
sistent to reduce the telephone tolls OF
single connection 10 neighboring
town to a similar amount, when the
customer serves as his own operator,
averting all expenses of manipulators, etc2
Another objection was to the effect that it
was the duty of American people to protect
pstentee in his rights. The patentee gets
his royalty precisely the same, viz, SIS an
nually for each telephone Should the bill
become law there will be 25 per cent. more
telephones in use; henoe the patentee is
protected much more substantially under
the cheap rate than by the present tolls.
With respect, We venture the opinion that
information to correct judgment in the
premises. This information is obtsinsble
only in large cities and at telephone head
quarters. We think we are fully advised,
and shall endeavor to photograph the situa
ton as it actually exists.
The Central Union Telephone Company is
but link to a monopoly second to none in
the worlds history. Twenty per cent. Of its
gross income is turned over to the Western
Union Telegraph Company as their portion
of its earnings, aside from the interest held
by this gigantic corporation. The officers of
the telegraph company are among its lead
ing Directors. The Superintendent of the
Western Union at this point is principal
stakeholder and Director in the telephone
company. Outside of the stock held by the
Western Union Telegraph Company and its
officials, we are informed none but foreign
capitalists are interested. These shrewd
manipuletors of American institutions havs
no other motive in view than to make sill
they can out of their investment thus bleed
ing the purses of American ctiz,ns, which
they will continue to do so long al legisls
ton does no. interfere. In their own native
land the Government regulates telephone
tolls. Why should they not meet with
similar measures on this side OF the ocean?
The opinion seems to prevail that tele-
phone exchanges are local institutions. The
Central Union Telephone Company covers
all Of the system in the States OF Ohio Indi.
ana and Illinois. In other States, embracing
the entire telephone system of the country,
it goes under different names This is for
legal objects, to avoid certain laws bearing
against them, aud to avail certain privileges
obtainable only by becoming State insti-
tutiens. Yet the entire system comes under
the shield CT the Bell Telephone Company
of North America. This company has little
regard for the wishes or interests of the
people. They have expended in the neigh
borhood of g., 900 600 since their existence
in no other cause than in crushing out and
keeping down competition. Less than q
year ago the Overland Telephone Company
applied for charter. Its tele-
phones were superior to those now
in use. 1t proposed renting telephones fer
S. per month, aud make connections
with outside points for fifteen cents. The
| instrument used by them rendered it per-
fectly easy to converse with points 500 miles
distant. Tests were made which proved that
wss practicable. The tick OF watch could
be distinctly heard over a circuit OF this
! length. They proposed 10 establish connec-
| tions at the 10 cent rate to Cleveland,
! Cincinnati, Toledo, Chicago. st. Louis, Lou.
isville and other neiehboring cities and in
tsrmediste points, but they had not the cap
| itsl with which to fight the Bell Company,
| which. by the backing furnished them, ex-
| pended ore round million dollars, in litiga-
/ ton and otherwise, for the purpose of de-
| ieating the Overland Company. Until within
+, the past three years the telephone company