Arizona republican., 1918-12-09
j. s. MUST Be THE
CENTER NOT ONE
END Of SYSTEMS
Vail, Confidential Adviser
~to Burleson, Explains Ad-
vantages Of World Wide
Control of Cables
TRepubIican A. p. Leased Wire1

[Republican A. p. Leased Wire1
| WASHINGTON, Dec. S.-Pooling of
1 the telephone and telegraph facilities
/ of the country on one hand. and the
| marine cable lines on the other, each
with a comprehensive operating or
! ganzation, under a single executive
/ head, is recommended to Postmaster
! General Burleson by Theodore n. Vail,
president of the American Telephone
and Telegraph company.
| In his letter made public today, Mr..
! Vail said the pooling arrangement
would be brought about without dis
memberment of the properties and in
such manner that they could be
turned back to private ownership at
the expiration of the period of gov
| ernment control
What should be done to create an
ideal system said Mr.. Vail. cannot
be done because of existing laws. nor
would complete consolidation be juSti-
fled, since to undo such consolidated
| system into its former units would
lead to unwarranted waste.
There are, however. many things
which can be done which would not
produce waste, and which might, by
improvement of service help to fur
ther educate the public and create an
! actively favorable attitude toward
some correlation or coordination of
operation and service. with the con-
troll and regulation and restriction,
through some combination of govern
mental authority and private owner
ship or operation, retaining all the ad-
vantages of incentives of both"
Vail Confidential Adviser
Mr.. Vail, who is acting as confiden-
tial adviser to Postmaster General
Burleson in the control of the wire
communication systems, taken over by
the government, discussed the land and
marine wire organizations separately.
If the United States. he said, is to be
come a commercial and industrial
world center, an American cable sys
TEN, consonant with the obligations
and opportunities of the country must
be organized.
There must be a United States sys-
tenn which will place this country di-
rectly in communication with every
. country with which we have or hope to
have important commercial relations
declared Mr.. Vail. 'AS it is now, We
are on one side of the world system
We must be made one of the centers of
the world system, il We expect to com
pete on even terms with the world, or
be properly considered by the countries
we wish to reach.
The immediate and pressing neces-
sity is for the east coast South Amer
lean cable to give this country and the
River Platte countries direct cable
communication.
"Of what use in commerce will .-e
our investment of billions in ships to
, carry commerce. if we do not gize
them and the business agents of al
4 commerce. direct communication with
their home ports and home business
houses.
Co. ordinate All Systems
Congress has authorized combina-
|. ton in foreign commercial enterprises.
= If the advantages and necessities We're
: properly presented. it should be pos
It sible to obtain promptly such author
: iZation of legislation as would give
= under the agencies of the government,
It authority for combination and opera
e tion of all electric intercommunicating
systems, in direct connection and CO.
d ordination with the national wire sys-
)" TEN, between this country and all for
V eign countries.
d There is one thing that calls for
: immediate action. The cable situation
V is and has been grave. Congestion is
It now the rule and accumulation of
e business is at times serious and when
: the activities of the peace conference
i are really commenced in Europe, it
= Will be greatly increased.
by one traffic head controlling
:, cable operation, and few slight
:. changes in the physical property.
,e which could centralize the cable ter
ri minals, as it were. the efficiency can
n be some what increased.
n IF it We're lawful, or if it could be
brought about by consent OF the pro-
IA prietors, it would be a great feature
in for the commercial and political inter
ests of the United States and of great
s. advantage to every country reached by
- direct communication, if the cable
- system could be consolidated into one
20 20 system and the cable system rear
~ y, ranged and extended more or less
- - Cheaper, Better Service
~ Such combination would at once
: bring about an important saving in
=. cost of operation.
~ a broader, cheaper and more abun-
dant service will be a most effectua
III adjunct to our own commercial agents
in securing business for the United
~ States industries There is already ar
Is active movement being unaugurated
40 particularly in South America by Ger
a-s man commercial agents, to recover
10 their prewar conditions, and which
al must be properly met, if the Unite,
O. States is to get any advantage from
so the present situation"
as For the unification of land wires. Mr.
ps Vail suggested creation of three oper-
ating divisions, each embracing the
distinctive operation of telephone
service" and telegraph service anC
the maintenance and manipulation O.
wires of systems" as distinct from
At traffic operations. Below these divi
IN sions the organization could be am
plified and arranged to meet the neces
Of sites, he said, and the whole shoult
he operate under one executive head.
,ly
ed Mackay Opposes Pool
r NEW YORK, Dec. S.-The propose
at of Theodore Vail. president of tn
re. American Telephone and Telegram
ill company, for pooling of the telephcn
d. and telegraph facilities and the marin
he cable lines of the country, is a "genu
he inc menace" which even the GSrma
b. oligarchy would have hesitated to pro
IT. pose Clarence H. Mackay, presider
Ia of the Postal Telegraph Commerce.
Cable company, declared in a state
re- ment here tonight.
ed I'VE are opposed to this; RADICAL,
he fundamentally opposed to it, Mr.. Mac
me kay said.
re- While undoubtedly more none
nd could be made by entering into such
The combination, we don't believe in it "
all don't believe the American people wal
;. it. We believe in competition-comp
81 titiOn in good service TO the prblic