Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-01-25
AYLESWORTH GIVES
VIEWS ON CHAINS
N. B. C. President ReCites
Radio Network Troubles
to House Committee.
BY MARTIN CODEL.

Congress got its chance to diagnose
the growing pains of chain broadcast
ing at its examination of M. H. Ayles-
worth, president of the National Broad
casting Co. The case for the radio
networks, with their constant amen
ability to charges of monopolizing the
ether and discriminating against Or
CARNATIONS and individuals, was pre-
scented so convincingly by Mr.. AyleS-
worth that at one stage the House
committee burst into applause.
Mr. Aylesworth firmly supported the
chain structure as the only practicable
way now available to get the finest
talent to the Nations radio audience.
He urged the committee not to con-
slider legislation that might hamper the
advance of radio, referring particularly
to the proposed curtailment OF high
power, Against the cutlery that the
chains dominate the radio dials with
identical programs, he offered the
testimony that the average chain sta
ton hroadcasts only three and one
fourth hours of chain programs daily.
First conceived by Owen D. Young
as a medium for elevating radio Offer
ings and thus stimulating radio sales.
the National Broadcasting Co. Is owned
so per cent by the Radio Corporation
of America, 30 per cent by General
Electric and 20 per cent by Westing-
house.
1t has just entered its third year of
existence with So member stations,
only three of which it owns or man
ages. Mr. Aylesworth reported 1t has
applications for membership from at
least $50 more stations.
Election Cuts Deficit.
Something like 100000 of revenue
from the political parties during the
recent campaign have served to help
reduce its 1927 deficit At the end Of
that year the deficit was 100000, and
at the end of 1928 it was about $780,
900, according to Mr.. Aylesworth. Its
operating revenues are derived largely
from selling time" at fixed rates, but
an indirect revenue is also earned for
the parent companies through the sale
OF receiving sets and parts. It's rela-
ton to member stations is like that of
q press association to client newspapers
Unlike a newspaper. however, its
space" Is restricted to the number of
hours in the day. Mr. Aylesworth re-
CARDS this as the insurmountable OBJ
stacle in the way Of CHASING chains as
public utilities whose services shall be
sGNnAdDlC w dIgbOQy WuL1klS W pay.
The competition with the Columbia
Broadcasting System, he said, meets
this issue sufficiently. The program
policies of the N. B. G.: rest with
voluntary advisory committee of men
and women prominent In many walks
of American life.
In the course of his recital Of the
network organization. Mr.. Aylesworth
told the House committee that the
N. B. G. now spends $5,000,000 annually
for program talent and about So. 000. 900
annually for telephone links between
stations. 1t has some 80 clients who
''buy time" The member stations TAX
ing such sponsored" programs are
paid $50 an hour. for their facilities.
When sustaining" programs of nom
commercial nature are taken from the
network studios, the station pays only
for telephone line charge of about S45
an hour
Invites Use Of Chain.
Charges of discrimination in the use
OF the chains facilities have been rela-
lively few. the policy being to avoid
controversial subjects or else to present