Wheeling register. [volume] (Wheeling, W. Va.) 1878-1935, 1896-08-05
EXPENSIVE OPERATION.
What If os's to Establish and Operate
TeIepI one Plant at the Present Time

=. ,os.s tn Establish and Operate n
TolenI one Plant at the Present Time
Secretary II. NJ. Hopkins, OF the DoaTu
of trade OF Saginaw, Mich rec-nLy
made q report OF trip he maze for the
nurpose of investigating the Telephone
conditions Of other cities, IN "hich ne
says: bova
In obedience TO your request nave
carefully investigated, for the past -ew
weeks. the question CT the establishment
of a competing telephone system N thlS
city. the cost of construction, opera''hs'
maintenance and other matters conLect-
Cd with the telephone business.
Iregret exceedingly TO say that nave
not in many instances found things
so favorable TO the idea OF a competing
company as | had hoped, and, as a Whole
The report | have to make is rs disap-
pointing to myself as it will doubtless
be to many who sincerely hoped Ior
cheaper and better service.
AS you first approach the telephone
question ii strikes you as being an eX-
ceed.ngly simple and easy one 10 solve
and you readily come 10 the conclusion
that lower rates are possible, and at the
same time profitable. But, as you go
further into the subject, ascertain the
different prices named for cost OF con-
struction and operating, and learn more
Of the details of the business, you De
come entangled in net work or fgures
and are doubtful as TO where you are
at" There is one conclusion you quick
ly reach and that is, that some has bsen
lying about the telephone business. You
cannot, by any possible reasoning, re-
concile The figures put forth by teie-
phone company promoters and the Bell
telephone company people. They are as
far apart as daylight and darkness. The
Bell people say that theirs are based on
eighteen years actual experience, and
the others on theory. which will be sad
~ disappointing TO those who put their
money into the business. However this
may be, there is certainly not much
doubt as to which claim is correct, which
timco only VII demonstrate. The tele-
phone business is not easily understood.
and there are many problems connected
with It, yet remaining to De solved. In
proyements are continually beng mada
that to-day destroy the value of some
thing that was considered absolutely es-
sential yesterday. In other words.
mean TO say that 1t IS yet in its infancy
and has not reached that stage where it
may be termed an exact science.
The matter Of patent infringement Is
one worthy of serious consideration.
The question IS by no means settled. al
though there are numbers of telephone
manufacturers who sell good instru-
mentS, giving satisfactory guarantee
bond TO defend against any suits for
inTringements. Tbs S good so far as
it goes, but It does not go far enough.
In that 1t would not. in case OF an ad-
verse decision, in any way recompense
individuals who have put their money
into the building Of the plant.
The Bel people confidently claim that
the opposition company's cost of oper-
alton per subscriber will exceed its
gross income per subscriber. to say
nothing of depreciation. requirements
and contingencies, the fund estimated
to take care Of which will be so totally
inadequate as to astonish the investors
after a brief experience.
Ms statement simply confirms what
/ stated at the outset. that the differ
enceS Of opinion as to the cost Of oper-
at.ng and maintenance was so widely
apart as TO totally confuse anyone. and
that time only viii show us the real
truth.
In conclusion | desire TO call your at
tention to the opinion of Judge Gage
furnished you at your request in which
he states that each individual subscrib-
er to the stock of 2 teleDbora connanv
S individually liable for oil material