New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-01-30
THE NEW-YORK TELEPHONE SYSTEM.

DurInr the year 1896 the use Of the telephone
In New-York City Increased at a very rapid rate.
ON the first day Of the year the number OF sub
scrbcrs connected to the New-iork Telephone
Company's metropolitan system was 1900. and
on the last this figure had risen to the very
. handsome one Of 1880. being an increase Of
& 100 stations or at the rate of over % per cent
for "A year. throughout which there was very
Widespread complaint Of adverse business con-
ditons This large expansion. won in the face
Of relatively hard times and general efforts at
retrenchmcnt, has been accomplished by active
business propaganda directed thoroughly to ac-
quaint the public with the merits Of the tele-
phone service and the rates at which its assist
ance may be obtained in the office residence.
The company advertses its service and rates
largely by means OF the ordinary mediums OF
publicity. and also by means of circulars and
other printed matter. and it employs large force
Of agents we'll posted on telephony, who make II
their business to interview all possible customers
and thoroughly inform them Of the merits of the
service These overtures to the public have been
well backed up by steady Improvement of the
service which, as a result of the complete con-
version OF the system to metallic circuit work
ing and of various advances in the equipment OF
the central offices. now leaves small room for
complaint
Ar influential cause OF the rapid extension Of
the use Of the telephone service In New-York is
I the system of rates adopted over two years ago,
under which the customer pays according TO his
use Of the service Up to 1894 the general prac-
tice of telephone companies the world over OF
charging "A uniform rate. based on the general
average use Of the service by all customers, was
followed in New-York In that year, as a re-
suit Of careful study Of the traffic of all the
subscribers then in the system. and OF the cost
Of maintaining line and station apart from the
use made Of the service new schedule of rates
was introduced based upon the number of mes
sages connections contracted for annually by
the subscriber
These message rates" which have been
modified from time to time in the light Of
experience have been distinct success and
the majority of telephone users in New
York now pay for their service according to this
PLAN which guarantees to the subscriber that he
pays only for his of the service, and not
for that of anybody else. The principle Of the
message rate-system is that a telephone station.
with it's snare of line and exchange plant repre-
sents so much investment, and costs so much
annually TO maintain. whether it be used for
sending messages or not. Then each message
sent will cost 50 much In operating. in the
Of trunk lines between exchanges, and in
and tear Of material. The minimum rate is
therefore designed TO cover the fixed charges
and certain amount Of operating, as naturally
he who puts in telephone expects 10 use ii 10
some extent for sending messages. After that
the rate increases in proportion TO the number
Of messages contracted for the price per mes
sage decreasing in accordance with usual trade
prirciples as the number " messages taken in
creases
The first Geo messages cost 10 cents each,