Mountain Home maverick. [volume] (Mountain Home, Idaho) 1906-1911, 1907-10-10
Great Change IN Bell
Telephone Policy.
Especial to Maverick. J


the policy of the Bell Telephone
Company for thirty years has
been Just announced
The report that the Western
Electric Company, the concern
that manufactures the apparatus I
used by Bell companies, would
hereafter sell telephones and sup [
plies to all buyers, is confirmed
by the President, Theodore N.
Vail. of the American Telephone
and Telegraph company; and Pres
iass.t Vail explained that the idea
had been under consideration for a
long time. but that heretofore one
difficulty had been that the West
ern Electric company needed more
plant, its full energies being re-
= quired by the Bell companies
alone. This obstacle to doing
general business has been overcome
by the recent completion of very
large additions to the Chicago fac
tory of the Western Electric COM
pany. and hence it is now in
position to take care of outside
orders. In reply to question as
to the probable effect of this action
on the revenue of the American
Telephone and Telegraph company,
Mr.. Vail said that no considerable
direct increase was anticipated but
that great indirect advantage was
looked for from impr owed relations
between the public and all of the
associated Bell companies, because
there has been an entirely erro-
ncous idea more or less prevalent
that the charges of these COM
panies for their services were
based on a monopoly of telephone
instruments, while the fact is, that
the instrument is but small part
of the plant required in giving tel
ephone service. 1t is felt that this
action may cause it to be more
clearly understood by the publ c
that the Bell companies only claim
for patronage is based on their
ability to furnish the best service
at reasonable prices and not on any
instrument monopoly.
MIR. Vail explained that at the
present time many inefficient tcle-
phone instruments are in use on
local and private lines and that the
Bell companies desire to see these
replaced by standard instr uments
in order that they NAV make traf-
fic connections with the greatest
possible number of properly
equipped lines, assuring proper ser
vice and transmission. For ex-
ample, there are thousands of sc
called Farmer Lines" which will
furnish valuable feeders for the
toll lines of the larger system wher
properly equipped and maintained
This situation can now be pro
vided for through the sale outrigh
of the Bell instrument and apar
atus.
In anwser to the question as t
whether it was intended that the
Western Electric company shoulC
become an aggI essive competitor o
the independent manufacturers
who up to this time have had
MONOPOLY of the selling trade, tn
only reply was that the Bell later
ests were fully prepared, eithe
from the manufacturing or operat
ing side of the business, to meet al
the needs of the public, and tina
they wish to demonstrate that the
claim to ask no advantages othe
than their ability to meet tines
needs under square compet1tiv
conditions of quality and pr ice
There would be no trade war, ht
anv manufacturers who have bee
getting higher pr ices Tor interle
goods under the old monopoly
the selling trade would natuall
suffer the loss of business.