Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-05-24
j. S. AIDE FAVORS
OPEN COMPETITION
Assistant Secretary of State
Would Keep Radio and
Wires Separate.
nv MARTIN CODFL,

Continued competition between radio
and the cables in international COM
4 munications is favored by the Assistant
/ Secretary of State, William r. Castle.
b Although coordination between Aneri-
can radio-cable services may be desir-
&. able for economic reasons and to meet
foreign competition, the American
/. theory of competitive services ought TO
prevail in the international as we'll as
!. the domestic field, according to Mr..
Castle.
He expressed his opinions while testi-
] flying before the Senate committee con-
Quoting hearings on the Couzens bill to
establish a Federal communications
commission. His testimony to this effect
{ followed close upon that of Capt. S. c.
/ Hooper, chief of naval communications,
who expressed doubt of the necessity Of
combining the American radio system
with this country's cables in order to
. meet the "cartelization" of communi-
cations that has already been accom-
. plished in the major countries of the
world having extensive radio and cable
operations.
The coordination of American serv-
ices was advocated by Gen. Geerge O..
Gibbs, chief of the Army Signal Corps,
In an earlier stage of the broad inquiry
the Senate committee is conducting into
Americas national and international
wire and wireless system. Mr.. Castle
was not questioned at length on the
international situation beyond the fact
about Americas cable licensing policy.
which has been to foster competitive
developments and non-exclusive land
Ding privileges in foreign countries.
His remarks on the radie-cable situa-
zion were chiefly to the effect that he
regarded competition by types, or be-
tween one form of communication as
against the other more desirable than
competition by groups or between rival
companies utilizing both radio and
cables.
U. S. Companies Favor Mergers.
Whether Mr.. Castles views represent
those Of the Department of State as an
American policy remains to be seen
when executive cogni1ance is taken of
the acute position the competing Amer
acan companies are being drawn into as
the result of indications abroad. The
tendency of American radio and cable
companies is toward Q merger In order
TO meet foreign competition, particu-
aarly from the recently unified British
system of cables and radio. A proposal
of the International Telephone a. Fele-
graph Co., which has subsidiary cable
systems to acquire the worldwide COM
munications facilities of the Radio Cor
poration Of America If the present law
IS amended has already been placed be-
fore President Hoover.
While the Senate committee was pur-
suing its own inquiry. the international
situation was forcibly brought to the
attention Of the Federal Radio Com
mission in the course of its hearings
on application for short waves for
domestic radiotelegraph projects pro-
pesed to compete with the land line
telegraph systems. Efforts to becloud
the international situation, in which
this countrys radio communications are
represented by the Radio Corporation
of Americas present monopoly of
American transoceantc radio, were dis
s0elled by the commission.
The effort was directed by counsel
Tor the Radio Protective Association, a
group of American equipment manufac-
Turers, none of whom is engaged in
communications. An attempt was made
70 show that the Radio Corporation Of