COMMUNICATIONS

Wanganui Chronicle, Volume LXXXIII, Issue 20150, 19 May 1928, Page 8

COMMUNICATIONS

WIRELESS AND CABLE NEW “HOLDING” COMPANY [ Australian Press ‘.ssn. J SYDNEY, May 18. Information is now available in reigard to the merger negotiations proceeding between the Eastern Associated Telegraph Companies, the Marconi Company, and the Pacific Cable Board for the united control of cable and wireless communications. The dominating interest will be held by the Eastern and associated companies. There will be a new “holding” company which will have a capital of about £55,000,000. It is also reported that theie will be a merger between the Mackay and Western Union interests of the United States by the formation of an international communications company which will have a capital of £55,000,000. The formation of these powerful [holding companies is being brought I brought about by the competition between beam wireless stations and the working arrangement which is being formed between the Eastern and associated companies and the United States companies will prevent any real competition in the future. Briefly it means the formation of two huge organisations administered under friendly co-operation with a combined capital of £110,000,000 to control the international communications of the world.