The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-12-09
VAIL TELLS NEED OF
U. S. CABLE SYSTEM
Share Of World Trade Cannot
Be Gained without Wires,
He Says.
WOULD Cheaper RATES
Declares Germans Are Already
at Work in South Amer
lean Markets.
Special Despatch 10 THE srS.

| Special Despatch TO The suS.
| WASHINGTON, Dec. S.-Unification OF
all land lines and consolidation and ex-
tension Of a single great American
cable system that would encourage
f, and be an advance agent for Ameri-
can commercial business, particularly
In South America. is recommended TO
Postmaster-General Burleson by Theo-
dore y. Vail. head OF the American
Telegraph and Telephone Company.
| Mr.. Vail is acting as confidential ad-
wiser to Postmaster General Burleson
| in the control Of wire communication
systems taken over by the Govern
ment.
Mr.. Burleson in a letter asked Mr..
Neii's views as to what should be done
to better wire communications. Mr..
Vail, in his answer, favors bringing
the land wire lines together and COM
bining the cables, but in a manner
| that would not scramble the present
properties so that the end OF the con-
troll period would leave a mess that
could not be unscrambled without dis
tinct loss.
Mr.. Vail makes detailed recon-
mendations as to methods OF accom-
plishment Of these ends and says sin
gle control of the cables would result
eventually in lower rates. 1t Is APP
parent that his recommendations were
written before the Government took
control of the wire lines. His report
says in part:
There is one thing that calls for
immediate action. The cable situation
is and has been grave. Congestion is
now the rule and accumulation Of
business is at times serious. and when
the activities of the peace conference
are really commenced in Europe II will
be greatly increased.
Favors One TrRmc Head.
by one traffic head controlling
cable operations and a few slight
changes in the physical property
which could centralize the cable ter
minals and which would not involve
any Acknowledgement OF the property or
could not be undone. the efficiency
can be somewhat increased. That is
the distribution OF the cable load coull
be effected more readily and with less
confusion than under independent and
coequal traffic managers. each more or
less jealous of his personal preroga-
tives or OF his system and giving his
system more consideration than
needed.
las pointed out in my letter OF
October %. if 1t were lawful or II Il
could be brought about by consent OF
the proprietors II would be a great
feature for the commercial and politi-
cal interests of the United States and
OF great advantage TO the countries
reached by direct communication II the
cable systems could be consolidated
into one system and the cable systems
rearranged and extended.
"Such a combination would at once
bring about an important saving in
cost OF operation, particularly by the
commercial department. AS charges
for service are dependent on costs II
would eventually bring about consider
able reductions in charges. So long as
each cable company must maintain its
commercial organization TO obtain and
retain its business so long must this
cost be distributed in the charges for
service.
Germans Already Mt Work.
"A broader. cheaper and more
abundant service will he a most eff
fectual adjunct to our own commercial
agents abroad in securing business
trtA
There is already an active movement
being inaugurated, particularly in
South America, by German CONNER
cial agents to recover their pre-war
conditions and which must be promptly
met IL the United States is to get
any advantage from the present sit
uation.
ut would seem that such a merger
would appeal to the business sense
Of the proprietors of the cable lines
and could be brought about II the
Government could put itself behind
the movement. In any event II this
country is to become a commercial
and industrial world centre. as it is
now great in financial, political and
national industrial lines, an Ameri-
can cable system consonant with our
obligations and opportunities must be
organized, and that system freed from
the uncertainties OF foreign cable
manufacture.
There must be a United States
system which will place this country
directly in communication with every
country with which we have or hope
to have important commercial rela-
tions. AS 1t is now we are on one
side Of the world system. We must
he made one OF the centres OF the
world system IL we expect TO compete
on even terms with the world or he
properly considered by the countries
we wish to reach.
THE immediate and pressing ne
cessity is for the east coast South
American cable TO give this country
and the River Plate countries direct
cable communication"
would Unity Land Lines.
on land lines he suggests: THAT
first to create a comprehensive oper-
ating organization by which all the
properties can be brought under one
executive operating head, through
whom all operations should be con-
Quoted. subject TO the Reconsideration
eral. This executive head should be
one OF unmistakable qualifications de-
,,oIanoa ~ lar0a eYDerience In similar