MARCONI CONTRACT.

Dominion, Volume 6, Issue 1596, 13 November 1912, Page 7

MARCONI CONTRACT.

'A MONOPOLY ABANDONED. , ; ;':. i .'.;•. London, .November 11. ■-.-, In rgiving, evidence /.before, the ParliaP>«ntiry • Committee/' .which ' is / inquiring into-the. Marconi...wifoless telegraphcon- .- t r AW.'.'Sir Alexander .King, General Secresaid the office ; bid /power . to, inspect' the''Marconi .pro-' ..bess/V'He/ admitted' that- the Post' Offico. ' didviiqt. know .whether; tHe' company pos- / sesse&rahy secret- process.'../ The Govern- / meht/i'was bound to consult the. company before adopting any'improvements. ..Sir, Alexander King also admitted that ... : the Company had dropped the monopoly iclanso;,in' the provisional: agreement the ..' day.'.' before the debate ,• in -the House of ■;-Commons; v. //'//■ .-'■'-;-,'.'.'. ■/'■'■/ GENESIS OF-THE CONTRACT. ■; ; A REMARKABLE/STORY./' '. '■'"•. The ' agreemont. between, the.-Marconi _mpany - and the: Postmaster-General, whichhas been so'much talked, about in ' recent; weeks, has'been brought into the BT6nii of public disoussion through a statement/issued on October'l by. Mr. Godfrey Isaftos,' the managing direotor of the Mar■i coni) Company. - ; .This statement is _■' con-. cerned- with certain assertions an . artiilß..contributed,.'by'Mr..'W.,B. Law- '■ eon.46} the 1 October number'of the • National ReviowV-r-assertiohs many of which,it >is (Understood, will form the subject of discussion'in Parliament in the debate '■ whichi has been promised when the Houso '■of .Commons, reassembles...-:•■■ -■, ■.■',•:-' '-. ; liiiorder l ..to..understand Mr.'.Godfrey. 1 Isaac's-'statement; it. is ; necessary to. give ; a',summary of the- essential parts .of. the "National 'Review's" article. • These are:, ;■•-' ilri:l9o9 Mr. Godfrey Isaacs l>ecamo man--■.agirte.-'director:'of the. Marconi; Company. InrOctober, 1909,; the .company concluded :'.a':'jjrs'fc'agreement/withithe Post.Office by . its conist - 6tations'/in; the United. Kingdom, the right ;■; tesu6e : its' patents "and -future improvemeritsi and,an option under .w.hich, r -if..the patents 'were'used for communication with ■- any. station in a ; possession or. foreign' country,' the terms /should be arfang/ed;l^!.arbitratipn.';:;/i;w.:.A-/.:/.;.:.: ,;/</;//: A" .Unused : Optlqn.;j;//. , ■."Why," l asks the article, "was this val._blo/.option 1 ignored 'Hit'l9l2 and a high price-'paid : foi 1 : rights./whioh/the.Pcstmas'-: ..ter-Gcrieral ; oould-alre'ady'.claim '■■ on arbi-..tratibn-terms?''';..y'/'■:-''.■ ■;.:■; yKi:[■'.■■■;[ - : ■ 1910. Mr. Isaacs; submitted toitlic/Coloniol Office a.'plan under which .thSj.Marconi,Company-was:tb.build eigh-teen-lnstallations/for'nothing,'/giving a wireless girdle, round '-.the" world. This waA-pigeon-holed : .and,nb'answ - er..given to it/ for-nearly/nine -months,, "while the sub-, set(iient','offer/made'to > '.the Post Officer to. ■huild-flvo installations 'at the / Govern-';mtafs-.-.eipenso and-take 10 per cent of thevrkeipts was jumped at ■■-by ; Mr. .;.;■::.■.;.:-'j-;</,v;>.;:.:- ~'.:.. ■':..- .'-The: only .possible;explanation.',' the artiole asserts,. "is-thntiin the- interval tho, ..Marconi■ Company, had.begun. to'realise/the volti6;of ■-.the/high political .-'patronage, it. abw./.enjoyed.and-io.livoiup to-it."; Marconi's : Company's Reply. / "--■};■. /, ';■ \Mri- Godfrey Isaacs,- interviewed regard--v lnjr,„the :drtiele. in ■ the/ "National. Review". /"respectihg;'.the, .Government's;/agreement ' with/the. company, stated that -'tit the last '■ -.interview.lie.had iyith the Postmaster-Gen;, ./eralj in/February' Mr; Samnelsaid ■:■ "That■is ..the -.offer'-I'jntike': to''you, Vand -I won't, : go ?any/further." ■'■:,' /.'■;-,-./-'•'■•.-.;? "■-. =-;\--'. •-[ ; -.-','; ; Mr.' Isaacs closed his.'papers';'.' saying: -."Thank you. ,On behalf of my : company -■ I'.'decline.the'-offer; -t.The /proposal;! matfe. to you,to/erect stations all' roilhd, tho-.world/on -British-soil being.impriibticable,. inasmuch-.ag-the. Government' • wilLi'otrdoit,;'wewill' doit 1 , .but; we' will' dd'/it.on.foreign"soil? '/.'V'/''/•/'/.', ■ . : -,That'was/.'the liist/in'terview Mr,' Isaacs •had'[with: Mr.'JSamuel,' butv'-.the negotiations/.w^rie^^^^ ■ Governmeht'cSme up;a.lUtle','tlie''-comgan.v : caniejdown "a; little, and the tender- was eventually:.accepted.-- v '■' --■:•'/•■•:.- •- ' /;.-.