Tom Day really working for Western Electric. He now Photo by Ken Sakamoto has 37 years' service. For most of those remembers years, he installed power equipment in always meant to go back, but some Pearl Harbor central offices. For the past three how I never got around to it. When years, Tom has been working at the this assignment came up, I added some A d v a n c e d C o m m u n i c a t i o n s C e n t e r i n vacation time onto the assignment so New York City, where he is re that I could spend some time catching sponsible for installing and maintain up on the 40 years of changes that On Sunday, December 7, 1941, "a ing Western Flectric's demonstration have taken place since I was there. I date which will live in infamy," Tom m o d e l s o f b u s i n e s s a n d r e s i d e n c e was able to take part in the 40th Day began his breakfast at Schofield products. A large part of his job r e u n i o n o f t h e P e a r l H a r b o r s u r v i v o r s . Barracks in Oahu where he was sta involves installing exhibits of WF I visited Hickam Field, Schofield Bar tioned with Company C of the 21st equipment that AT&T sponsors at racks, Diamond Head, and, of course. Infantry Regiment. He remembers that t r a d e s h o w s a n d c o n v e n t i o n s . H e c o n Pearl Harbor. It was a lot of fim to see morning vividly. As he puts it, "At the siders himself an expert on the my old Army buddies, although we time of the attack on Pearl Harbor, I Dimension® PBX, the Horizon® com were reminiscing about a terrible had just begun to eat my pancakes. All munications system, and the event." of a sudden, everything just blew up. Dataphone® data sets. His job takes Tom did one more thing before Pancakes and everything. I went head him all over the country and, for coming back to the mainland. "Best of over heels over the chair. No one tunately, he enjoys the travel. all," Tom says, "I sat down for breakfast knew what had happened. It was By a stroke of luck, he was asked to on December 7, 1981, in the shadow chaos. I was lucky though—I am here install an exhibit in Hawaii in Decem of Diamond Head, and I ordered pan to remember." ber 1981. "I jumped at the chance," cakes. Forty years later, 1 finished my After World War II, Tom started Tom says, "to go back to Hawaii. I'd breakfast with no mishap." Third Quarter Contents 34th Year Page 2 Page 6 Page 18 2 Competitors There are a lot of them out there c T e c h n o l o g y for the Eighties Teehnology is shaping our future 14 My Time Is Flexible A choice of starting times J ^ In Recognition 10 of Long Service Golden oldies and some new ones 18 Zap! Static electricity can he deadly *)<) Don't Panic! It A few tips on keeping your cool Could Kill You n A P r o c e s s o r f o r t h e WE's newest proeessor Information Age rtc World of Communications Open house at a Chicago museum QQ Phones, Phones, A collection for the ages Phones 30 Summer on Campus Studying for the computer age 32 Pioneers with Insight A library of talking books is the goal O n t h e C o v e r w ® WE is published for empioyees of George Gray P e t e r L e w i s Using a touch of surrealism, artist Western Electric. Editor Design Ed Lindiof has tried to capture the President: D.E. Procknow; Saul Fingerman Leonard Stern essence of some of the Bell System's Secretary; EC. Chiids; Managing Editor Photography Treasurer: R.E.Ekebiad. major "Technology for the Eighties." Editorial office: 222 Broadway, NY NY 10038 Elizabeth Periman Thomas J. O'Donoghue (See page 6.) These are photonics, Telephone: (212) 669-2621 Associate Editor Production microelectronics and stored-program Copyright © 1982 by Western Electric Co., Inc. control. All three technologies are Ail Rights Reserved. moving us towards an all-digital Printed in the United States of America. Western Electric network, as symbolized by the ones Title "WE" is a registered U.S. trademark. and zeros threading their way through the picture. W E t a l k e d w i t h but 1 believe the 250 percent increase WE: What caused the change? is indicative of the trend. A dozen FRECHE: For years we tended to Executive Vice years ago, following the landmark Car- think of telecommunications largely in President Gerry terfone Decision by the Federal terms of the Bell System. But events Communications Commission—^which outside our control are making it clear Freche about the in effect allowed interconnection of that the world is rapidly changing with privately owned terminal equipment many telephone administrations and impact of to the Bell switched network—the many equipment suppliers who also competition that we talked about was have financial and technological re competition almost entirely in the customer prem sources. Moreover, many of our ises sphere, that is, telephone sets, competitors are large foreign com Massive changes have taken place in PBXs and data modems. panies sponsored by, or protected by, the U.S. telecommunications industry The effect on Western Electric's their governments. This makes for a in the past decade, partly because of total sales was not too noticeable rather difficult situation in trying to technological innovation, partly be because the economy was booming sell our wares abroad; in effect, to cause of regulatory imposed changes and the telephone companies were compete on our competitors' home and finally because of the entry of new ground. Many government regulatory players. Hundreds of new companies and political actions in this country, have entered the field as service or however, have thrown open the door equipment providers. The modified to these same foreign suppliers and in Consent Decree recently agreed to many cases virtually insist that the Bell with the Justice Department portends operating companies buy from com even greater change in industry petitors, including foreign suppliers. structure. WE: How Strong are we tech Since one of the major factors in nologically, as contrasted with Western Electric's planning process is these foreign competitors? FRECHE: We are very sound tech competition, we asked Gerry Freche, Executive Vice President, Network nologically, financially and Planning and Management, about the managerially. In fact, the basis of our impact of this intensifying competition success over the years has been our on the company. preeminence in the electrical and WE: Just how serious is the com electronic areas. But it is a situation petitive challenge? We have heard that can change. Our foreign competi talk about competition before, but "Much of the tors are large, well-established, our sales and earnings keep going financially sound firms with very fine up. We can't be doing too badly. competition we face research and development groups. FRECHE: What you say is what some today is an outgrowth Some perform R&D directly in this of our people believe, and it could of our own innovation" country; others have acquired high give them a false sense of security. technology companies here to develop new products for the American mar They are deluding themselves. The buying more of everything in an at ket. They are strong, well-run firms to competitive challenge we face is real tempt to keep up with the burgeoning and getting more serious everyday. demand for service. Today, however, be taken seriously. The recent settlement of the Justice the impact of competition is being felt "WE: A great deal has been said in the press during the course of the Department case will intensify the on all parts of our product line. For competition to supply the local ex nearly every product we make and Justice Department case about barriers to entry into the telecom change companies. We also see the every service we perform, other com munications equipment business. intensity of competition for intercity panies have products, capabilities and telecommunications increasing large appetites for sales growth. We Is it really that difficult to get in a n d s u r v i v e i n t h i s b u s i n e s s ? steadily. face a constant challenge to prove that WE: How has the competition ours is the best buy for the money. FRECHE: The facts, it seems to me, changed? Aren't they the same WE: The competition charges speak for themselves. I've previously familiar names, just grown bigger that we have the Bell segment of mentioned the growing numbers of and bolder? the telecommunication market firms listed in Telephony's Buyers' FRECHE: Many good companies are locked up. How true is that? Guide, which is one indicator of ex emerging, some of whom are entirely FRECHE: It is certainly not true pansion of the industry. Another is the new in this area. There are many more now, and 1 doubt that it ever was.