The Idaho Republican. [volume] (Blackfoot, Idaho) 1904-1932, 1909-07-30
FIGHT WITH AN oCToPUs.
Consolidation of Independent
Concerns-Rapid Growth of In
denpents in the West

New York, July 24.-The outcome
of the conference held at Parkersburg
West Virginia, few days ago when
the West Virginia Western Telephone
company operating 5000 telephone
and many exchanges in nine West Vir-
ginia counties and two counties in
Ohio affiliated itself with the National
Telephone corporation of New York
to fight the telephone trust was not
unexpected.
By this stroke the National with a
capitalization Of $10O,00O,O0O now
controls all the Independent plants
from Pittsburg south OF Parkersburg.
1t is only a question of a few months
when the Independent companies OF
Pennsylvania, Ohio, Illinois and In
diana will join with the National cor
poration in the flight with an octo-
pus," as the struggle now being made
by the Independent companies against
the american Bell all over the coun-
try has been called.
The Independent telephone COM
panies Of the United States have been
really active for only 10 years. But
in that time they have brought about
such spread Of telephone service
that the annual output today Is more
than twice as great as the total num-
Der Of instruments in use when the
monopoly lost control. 5.
"A single Independent factory at
Rochester, N. Y, is turning out over
200 900 complete telephones a year.
Compared with this rapid increase the
Bell Telephone company from 1850
to 1890 installed in the entire five
years but 5O,156, an average Of about
10, 900 year.
In Indiana alone the Independents
are now operating 10000 tele-
phones. The annual rental paiy by
the Indiana public for these tele-
phones amounts to $3,048,885. The
same number of telephones at the
rate charged before competition be-
gan would have cost $7,275,300.
In this one state competition is saw
ing the people $4,226,415 a year in
direct charges, the income 3at average
interest on a fund of $f00,000,0 900.
Indirectly the saving is multiplied
enormously for it is conceded that the
telephone today owing to its extend
| ed use is tremendous economic rae
tor, adding in many cases from five to
| fifteen per cent to the producing pow
er of the industries Of the country.
A conservative estimate has placed
/ the direct net earning power OF every
/ telephone in use at $50 year. The
five and one half million telephones in
/ use today are adding to the wealth
of the United States at the rate or
$275, 900, 900 pear through the saw
| ing of time and labor and the enlarg-
ment of opportunity.
Thirteen years ago the Independent
| Telephone company had no existence
in this country. Everything was
monopolized by the Bell company
which was growing tremendously
rich. Today the Independent Tele-
phone industry represents conserva-
lively three hundred millions of CAPT.
tai, employs over 100000 workers
and has more than 100000 stock
holders. y,
1t dominates the middle west, is
creeping into control Of thee East and
only within the past eighteen months
has made tremendous strides into the
country of the Northwest, including
Montana with the Montana Indepen-
dent Telephone company, Washington
with the Interstate Telephone COM
pany, and any number of smaller COM
panies in Oregon, Idaho and even in
Canada. 1t has 100000 people de-
pending upon it almost exclusively for
service and it is increasing this num-
Der at the rate of nearly 20 per- cent
year.
This crystalization on commercial
basis of peoples protest against ex-
tortion and unfair treatment, and
embodying the business spirit of
American independence has revolu-
tionized the telephone business of the
country and effected a saving of humid
reds of millions for the public.