Evening star., 1942-10-29

\Ot TISVSHlI ne
| for its service are fair and reason
able, whether the news service fur
nished by A. p. Is discriminatory OF
reasonably designed to meet the re-
quirements of all its customers
whether its budget is too high or toe
low and generally to control and
dominate the affairs of A. P. in the
same fashion that public utilities are
controlled and dominated by gov
ernmental authority.
The American press of today is
superior to any press of the world;
this pre- -eminence is due, defendants
believe, to the absence of govern
mental dominance and to the pres
ence of the free forces of competi-
ton. Should the Government suo-
ceed in subjecting A. p. and other
news agencies to governmental domi-
nance, defendants believe that free
competition between newspapers
would be abolished, that competition
between news agencies would be
abolished and that the freedom and
pre-eminence Of the American press
likewise would be abolished"
Other Services Discussed.
The Government contended the
American press was served by three
news agencies-A. p, U. P. and I. N
Sand that there was little likeli-
hood any other organization COM
parable would undertake serving
American newspapers with news
gathered on a comprehensive basis
The answer asserted there were
many other news agencies in this
and foreign countries, and argued
that should they fail to serve Their
customers properly and economical
~ the forces Of free competition
would give birth to other news
agencies.
There is no restraint whatsoever
upon the establishment of othe,
news agencies or any individual OF
group of individuals"
1t argued that access to the serv.
Ice OF any particular news agency is
not determinative Of the success O,
failure Of any individual paper.
Many newspapers having A. p
alone, or U. p. alone, or ms alone
have been very successful, and many
newspapers having access to one OF
more of these agencies have failed
of success" it added.
1t cited the New York Daily News
New York Mirror, New York Jour-
nal, Baltimore Evening Sun as
newspapers which developed large
circulation before becoming A. p
members.
Service Held Dependable.
1t is obvious, the answer said
that newspapers would be unable to
cover the news as broadly as they
now cover it If they should be de-
MED the service of a news agency
but denied that news agencies are
indispensable to the survival of
any newspaper.
In opposition to the Governments s
contention that newspapers without
A. P. are restrained, the answer
said:
Many newspapers prefer U. p.
alone without supplement by the
A. P. or ms; others prefer ms
alone: these three news agencies all
appeal to substantially the same
reader interest.
The answer said that both the
United Press and international
News Service were in active COM
petition with the A. P. It cited the
claim of the U. P. to the world S
best coverage of the worlds biggest
news" and the ms contention that
it has a better foreign news service
than any other agency.
There is and can be no monop-
oily or restraint of trade in obtain
ing local news, the court was told
IN answer to the Government con-
tention that the exclusive return of
local news by A. P. papers to the
A. P. compelled competitors to en-
ploy more costly and less efficient
and complete means of gathering
domestic news.
Neither U. p, ms or any other
agency has ever complained that it
has been restrained by A. p. in
gathering and disseminating local
news; on the contrary U. P. and
ms claim and have always claimed
their local news to be the equal OF
superior to A. P.'s," the co-defend-
ants asserted.
Right Of Control Claimed.
Denying the Government charge
the defendants continuously plan
ned and acted together to restrain
competitors of A. P. members from
obtaining access to A. P.'s services
the answer said:
Defendants are advised that |,
Is not within the province of the
Government to require A. P. to &C.
cept as members competitors o.
non-competitors of members or tx
interfere with A. P. in respect te
such matter. The defendants ar.
advised that II A. P. were q monop.
oly-which it Is not-the remed,
af1orded the Government under thu
antitrust laws of the United State,
would be to pray that the A. p. b.
dlsestablished, or that its member.
ship be reduced: but that the spirit
and intent of the antitrust laws a,
the United States forbid that A.. P
be required to take any steps in tn,
direction of monopoly by ADMITTING
| all applicants"
Five factors were cited by the co.
defendants in denying the Govern.
ment's contention that economi,
self interest of the Associated Press
is IN favor of expanding A. P. mem.
bership freely as distinguishes
from the interests of individua
members to protect themselve.
against competition.
The answer said too great expan.
sion Of the A. P. would result in tn,
following:
l. A very unweildy organization
composed of many not having thu
loyalty and destire to serve ane
build up A. p. as does the member.
ship today. II
z . rnu,.