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Telephone and Telegraph Systems (Series R 1-92)

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Telephone and Telegraph Systems (Series R 1-92) 1975 Chapter R Communications Telephone and Telegraph Systems (Series R 1-92) R 1-92. General note. phone inquiry appears in "Telephone Division Order No. 9," FCC, Reports, vol. 1, p. 49; the text of the telegraph inquiry is Among the primary sources of governmental historical statistics in "Telegraph Division Order No. 12," FCC, Reports, vol. 1, p. relating to the telephone and telegraph industries are the following: 88. Responses are available to the public at the Commission.) 1. U.S. Bureau of the Census. Compendium of the Seventh Other major sources of telephone and telegraph statistics are Census of the United States, 1850; Compendium of the Tenth Census the annual reports to stockholders by AT&T (Bell), the Western of the United States, 1880; Statistics of Manufactures, 1890, Census Union Telegraph Company, and statistics of independent (i.e., Bulletin No. 196, June 1892. non-Bell) telephone companies compiled and published by the 2. U.S. Bureau of the Census. Quinquennial censuses of the United States Independent Telephone Association. telephone and telegraph industry, 1902-1937: Bulletin No. 17, A major factor affecting the statistics of the telephone and tele- Special Reports: Telephones and Telegraphs, 1902; Special Reports: graph carriers has been the prescription of uniform systems of accounts Telephones, 1907; Bulletin No. 102, Telegraph Systems: 1907; for these companies by the Interstate Commerce Commission and Telephones and Telegraphs and Municipal Electric Fire-Alarm and by the Federal Communications Commission after its formation in Police-Patrol Signaling Systems, 1912; Census of Electrical In- 1934. The ICC prescribed a uniform system of accounts for telephone dustries: 1917, Telegraphs and Municipal Electric Fire-Alarm companies having annual operating revenues exceeding $50,000, and Police-Patrol Signaling Systems; Census of Electrical In- effective January 1,1913, and for telegraph carriers, effective January dustries: Telephones—1917, 1922, and 1927; Census of Electrical 1,1914. The ICC issued more detailed accounting systems, effective Industries: Telegraphs-1917,1922, and 1927; Census of Electrical January 1, 1933, for Class A companies, and condensed classifica- Industries: Telephones and Telegraphs, 1982 and 1937. (Multiple tions for Class B companies, effective January 1, 1934. The FCC year titles represent different volumes for each year.) adopted a revised uniform system of accounts for Class A and Class B 3. U.S. Interstate Commerce Commission. Reports of tele- telephone companies, effective January 1, 1937. The outstanding phone and telegraph carriers, 1914-1933: change was a requirement that telephone plant be recorded in the a. Memorandum Concerning Telephone Companies and accounts at original cost, i.e., cost at time of first dedication to public Telegraph Companies Reporting to the Interstate Commerce Com- use. The FCC adopted a revised uniform system of accounts for mission for the Years 1916 and 1917 (processed). Class C telephone companies, effective January 1, 1939 (the earlier b. Annual Report on Telephone Companies, 1920-1927, ICC system had been established, effective January 1, 1915). The 1928-1932, and 1933 (processed); Annual Report on Telegraph FCC differentiates among Class A, B, and C companies on the basis Companies, 1926-1927, 1928 -1932, and 1933 (processed;. of operating revenues, which have had varying limits over the years. 4. U.S. Congress. Report on Communication Companies The reporting authority of the FCC relates only to telephone and (Splawn Report), issued as House Report No. 1273, 73d Cong., telegraph carriers engaged in interstate and foreign communication 2d sess. (1934) in connection with the consideration of the Com- which cross State or national boundary lines over their own facilities munications Act of 1934. This report contains detailed data or through connection with facilities of an affiliated carrier having from the carrier reports filed with the Interstate Commerce Com- such facilities. Thus, carriers filing reports with the FCC (with the mission and also the results of a questionnaire to the telephone, exception of a small number of companies filing voluntarily) exclude telegraph, and radio industries for 1922-1932. a large number of small, and a few large, telephone companies. 5. U.S. Federal Communications Commission. Reports of telephone and telegraph companies filed monthly and annually R 1-45. General note. with that agency, 1934-1970. Selected data from these reports have been issued either monthly or quarterly, and annually (in The Bell System provides the great bulk of local exchange and processed form;, in the Commission's annual reports to Con- interexchange or toll telephone facilities and service in the United gress and beginning 1939, in the FCC's annual Statistics of the States. It includes the parent company of the Bell operating tele- Communications Industry in the United Stales. phone companies, consolidated with "associated holding and operating 6. U.S. Federal Communications Commission, Investigation companies in the United States, not including connected independent of the Telephone Industry in the United States, House Document or sublicensee companies." The figures as presented are "statements No. 340, 76th Cong., 1st sess. (1939). This report includes the of the Bell Telephone business as a whole, eliminating all duplications results of the Commission's investigation of the American Tele- and showing the figures and results as 'if operated by a single com- phone and Telegraph Company (AT&T). Page 609 of the pany.' " The parent company has been American Telephone and report refers to a number of staff reports, or exhibits, containing Telegraph Company since January 1, 1900; prior to that date it was more detailed statistical and other material prepared in connec- the American Bell Telephone Company. The number of companies tion with the investigation and issued in processed form. These included within the Bell group has varied from time to time. In 1914, staff exhibits and reports are listed under the title, Special In- approximately 35 companies were included and in 1915-1916 the vestigation Docket No. 1. number increased to 39. Subsequent consolidations reduced the 7. Statistics for 1926-1934 obtained by the Federal Com- number to 29 in 1920 and to 25, including Cincinnati Bell, Inc., and munications Commission from telephone and telegraph com- Southern New England Telephone Company in 1970. Since 1936, panies and designed to afford the FCC a basis for determining however, AT&T in its consolidated financial statements has excluded whether carrier rates were just and reasonable and in enforce- these 2 large noncontrolled companies. For comparability with ment of other statutory responsibilities. (The text of the tele- previous years, however, the figures have been adjusted to include 775 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis 1975 R 1-16 COMMUNICATIONS these 2 companies using reports filed by them with the FCC. "Bell graph and teletypewriter stations through 1930 and private line companies" and "Bell System" are at times used interchangeably telephones through 1934, but not thereafter. Lines, basically for herein. Unless otherwise specified, the reference is to "Bell System." internal use, on which outside calls to public phones cannot be placed Included in the Bell organization in 1970 were the following: constitute private line telephones. 1. AT&T, which is the parent company. The households with telephones are based on census figures, 2. 21 regional subsidiaries owned and controlled by AT&T, utilized by AT&T in conjunction with the number of telephones in plus a subsidiary of one of these regional companies. These 22 residences. Bell System principal telephone subsidiaries furnish exchange and intrastate toll service, as well as interstate toll telephone service; R 2. Telephones per 1,000 population, 1876-1970. they constitute, with the parent, the Bell System of 1970. Source: 1876-1956, U.S. Federal Communications Commission, 3. Two other major companies, Cincinnati Bell, Inc. and unpublished data (except for census data). For census data and Southern New England Telephone Company, in which AT&T 1957-1970, see source for series R 1 and R 3-8. has substantial minority interests. These 2 companies, together with the 22 above, are referred to as the Associated Companies. Annual figures are based on data supplied to FCC by AT&T. 4. Bell Telephone Laboratories, Inc., a scientific research and development organization, and Western Electric Company, Inc., R 9-12. Average daily conversations, 1880-1970. which is the Bell manufacturing and supply organization. Source: U.S. Federal Communications Commission, unpublished In addition, a number of Bell Company affiliates have varying data. Figures are based on data supplied to FCC by AT&T. degrees of stock interest in various other telephone companies. Data Generally, exchange service is telephone service within an exchange for series R 1-30 relating to the Bell companies exclude operations area. A local call is defined as a call originating in and completed of Bell Telephone Laboratories and of Western Electric, except as within the same public exchange area; a toll call is one which originates their operations affect operating expenses and miscellaneous income in one exchange destined to another exchange area, whether located of the Bell companies. Bell Telephone Laboratories operates on a nearby or across the continent. In instances
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