The sun. [volume] (New York [N.Y.]) 1833-1916, 1907-06-16
ITALY BACKWARD.
The Telephone Service Paralyzed by the
Government.

Government.
ROME, June 2.-Italy has been among
the most backward countries in the in
PRODUCTION Of the telephone. There are
only %, 4o7 subscribers in the kingdom.
including $500 in Rome. The proportion
is one telephone TO 1874 inhabitants. The
development OF the service has been crippled
by the onerous terms and conditions i'm
posed by the Government.
Although the telephone system in Italy
ia a Government monopoly the service
is to a great extent under private manage
ment. The State has from time to time
granted concessions to private companies
that undertook to establish telephone
communication, either locally in a town
or between two or more towns. and age
such service for a period Of twenty-five
years, meanwhile paying the State 10 per
cent, on the GROSS profits in the case Of
local and % per cent. and upward in the
case Of Ions distance service. At the ex-
piration of the concession such telephone
lines become the property Of the State.
1t is now the intention OF the Govern
ment to do away entirely with the private
system and take up the exclusive manage
ment OF the telephone service. The State
at present has the direct management Of
all long distance lines. besides the local
! systems Of Venice and Piacenza; private
concessions are no longer granted. and a
bill has been introduced by the Govern
ment TO buy all privately managed lines
before the expiration Of the terms fixed
by the concessions for a gross sum Of
about 81 700 900.
The cost Of telephone service in Italy
varies from $40 to $40 a year, plus cost OF
installation. Most of the apparatus is
| obsolete. The companies naturally re-
frain from putting in up to date equip
ment BECAUSE the business will soon be
ia out OF their hands.
There is strong opposition to the Gov
eminent telephone bill. The public infer
that the Generalization which has fol-
lowed the Government management Of
the railways will be repeated In the case
| OF telephones when they pass into the hands
Of the bureaucracy.
Data Of expense OF operation under
Government management can only be
given In the case OF long distance service
In 1903, when the State started the service,
II yielded more thar $500 900, and since then
It lie calculated that the telephones represent
a source Of revenue Of about $500 900. The
| State management is less economical than
the private service, as In the latter case the
percentage paid TO the Government has to
be allowed for.
The long distance service 10 exclusively
managed by the State and is inefficient.
The State has q good source OF revenue
from the telegraph. which is a Govern
ment monopoly, and since there seems to
be a tendency on the part Of the public to
prefer the telephone to the telegraph the
former lie not developed as it should be
lest the revenue from the telegraph should
diminish.
The long distance telephone service
10 used to a great extent by newspapers,
which have the line at their exclusive dis
posal during several hours Of the day and
night. In cases when these newspapers
are friendly to the Government they are
| preferred over others. The Government
uses the telephone to communicate with
authorities In the provinces and thus very
little time is left at the disposal OF the
general public.