Television digest with AM-FM reports (Jan-Dec 1951)

Record Details:

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10 partial breakdown, see Mobilization Notes) — although many electronics contracts go outside TV-radio industry, and many have lead time of a year or more. So they can’t be counted on to take up much of the slack caused by curtailed TV-radio production. You can get idea of magnitude of this appropriation by comparing it with this week's Pentagon announcement that Defense Dept, obligated $55.5 billion for military procurement during first 12 months following Korea. Of this amount, $27.9 billion represents contracts for military "hard goods". By rule of thumb, something less than $3 billion, or about 10%, is for electronic equipment. But civilian industry won't be blotted out by military, except in all-out war. Govt, takes great pains to make that clear. In Aug. 7 broadcast, DPA-NPA boss Fleischmann stressed desire to maintain healthy economy by "allowing the largest volume of civilian production consistent with meeting our military needs first." To back this up — for fourth quarter, at least — DPA has instructed NPA's operating divisions to slash some "essential" or "defense-supporting" programs deeper than consumer goods. Reports on CMP's operation haven't been good during current "dry run". DPA has been widely accused of "over-allotting" — writing too many checks against its bank of strategic materials. To which Fleischmann replies fault is manufacturers' — too many have placed duplicate orders with different suppliers; others have not cancelled excessive orders. He's ordered crackdown, pledges smoother operation during fourth quarter. But applications have been drifting in too slowly to begin fourth quarter allocations on schedule. Electronics Div. , for example, has received only about half the 1200 applications it expects. Fleischmann extended July 31 deadline, warns that anybody who doesn't file before Aug . 15 "is running a tremendous risk" of not getting enough materials next quarter. (For other CMP news, see Mobilization Notes.) There's still a rub — even if CMP works as planned next quarter. Most production experts expect big electronic bottlenecks as a result of shortages of the so-called "rare metals" — rather than the "controlled metals," steel, copper and aluminum. Fleischmann took cognizance of this in his broadcast, when he said of nickel, cobalt and chrome: "Practically 100% of the available supply of these materials must go directly into the military, defense-supporting and expansion programs." OUTLOOK FOR CBS COLOR SET PRODUCTION: Who's going to make CBS color sets? And how many? Only CBS-Columbia, Tele-tone, Webster-Chicago , Meek, Muntz have shown any enthusiasm, made consistent promises thus far. Crosley and Bendix have shown samples, but with noticeable lack of faith in system. Their apparent purpose is to show their dealers they won't be left out in cold if demand grows. None of biggest producers has yet gone even as far as Crosley and Bendix, but there was talk this week that one or more might — to keep dealers "protected". It's extremely questionable whether any top producer would really throw his full weight into CBS-type production, albeit FCC-approved, since industry's faith in ultimate approval of compatible system mounts daily (see p. 5). Of course, virtually every manufacturer has made CBS sets in labs, for own edification and protection. But CBS's promotion — football, baseball, etc. — is likely to produce some impact on trade, according to some manufacturers. "It's the moral effect of the Godfrey kind of propaganda that bothers us, " said one — explaining he means the kind of publicity that renders low-income folk indecisive about buying their first black-and-white set, inevitably cheaper than color, and that keeps wealthier folk from buying their second or third set. * * * ♦ Meanwhile , CBS-Columbia says it "will try like hell" to meet its goal of 25,000 color units by year's end. President David Cogan feels company has good argument to persuade more materials out of NPA. "We were changing models during our base period," he says, "and naturally our production was lower. But I think NPA will be reasonable." If NPA doesn't relent, Cogan points out, company can shift materials from