Broadcasting (Oct 1931-Dec 1932)

Soundness of Radio Industry Proved By Economic Stress, Sarnoff Asserts RCA President Optimistic in Statement to Stockholders; Television Not Ready for Public Despite Progress THE STRAINED economic conditions through which this country is passing have emphasized the inherent soundness rather than the weakness of radio, David Sarnoff, president of RCA, Mr. Sarnoff asserted May 3 m a statement to the annual meeting of the company's stockholders. Referring to the industry as a whole, both broadcasting and manufacturing, Mr. Sarnoff said: "Although the entire industry has been going through a trying period, due to generally depressed business conditions, I can make the hopeful statement that I do not believe the situation has become any more aggravated in recent months. We have been swimming upstream, but nevertheless the last year has been marked by a great deal of progress. "The prospect of radio for the remainder of the year is dependent largely upon the general business trend. About this one must hesitate before making any prediction. Nevertheless, I believe that the constructive efforts being exerted in many quarters will begin to bear fruit during the current year, so that, even though industry may not for some time regain its normal levels, the readjustment to new conditions will have advanced sufficiently to justify the expectation of an acceleration in business." Re Television MR. SARNOFF said broadcasting has become an established medium for information as well as intelligence so that it is now recognized as a household and business necessity. This election year, he said, there will be an increasing reliance by the public on radio. With regard to television, he added: _ "We have continued the intensive experimental work which has been carried on in order to make television a practical, worthwhile service to the American home. Our experiments up to the present have confirmed the belief that practical television can best be accomplished on its own band of wave lengths, where it will be a service additional to the present system of sound broadcasting. "Our engineers have done much research during the past year with television transmission on short waves and with various studio problems incident to television transmission. However, I am going to reemphasize what I have said before — that while the public was quite willing to experiment with radio in the early stages of broadcast development, it will expect television apparatus of a more advanced type than the early crystal radios. "When broadcasting began, the public had had no exnerience in taking sound and music out of space, but the motion picture in dustry has given it a high standard of excellence in sound pictures, and television images which are obscure and difficult to follow cannot be expected to sustain interest over a very long period. To attempt to market television equipment prematurely would severely retard a development that has great promise and which we expect to grow into a great and widely accepted service. Premature marketing could only result in public disappointment and an immediate loss of sales after the initial impetus. The experimental work we are undertaking will be continued energetically. As stated in the annual report, television receiving equipment will be offered to the public when this experimentation has shown that the system of sight transmission having practical value can be assured." The RCA president reported that the company's operations during the first quarter of 1932 show a gross income for the three months of $20,585,222.54 and a net profit after all charges of $503,223.72, which was in contrast to a deficit during the final quarter of 1931. StaShine Hearing Scheduled June 15 ORAL ARGUMENTS on the StaShine case, involving the jurisdiction of the Interstate Commerce Commission over the broadcast advertising rate structure, and determination whether broadcasting is a public utility common carrier within the meaning of the law, will be heard by Division Two of the Commission June 15. Commissioners Aitchison, Porter and Tate constitute the division. Oral arguments were requested by the Sta-Shine Products Co., New York, after Examiner W. M. Cheseldine recommended dismissal of the complaint lodged against NBC and WGBB, Freeport, N. Y., alleging unreasonable and discriminatory rates for time, on the ground that the L C. C. is without authority to regulate broadcasting in any fashion. He held stations were not common carriers, like railroads, and therefore were not subject to I. C. C. jurisdiction. (See April 15 issue of Broadcasting.) The case, filed last fall, was the first ever instituted raising the question of I. C. C. jurisdiction over the business of broadcasting. Arguments on the jurisdictional question were heard by Examiner Cheseldine in New York last January, and his report recommending dismissal was filed April 6. The oral arguments before Division Two also will be limited to the jurisdictional question and probably will last about two hours. A. L. Ashby, vice-president and general attorney of NBC, and Frederick H. Wood, of New York, will appear for the defendants, with Ernie Adamson, of New York, as counsel for Sta-Shine. Use of Long Waves For Broadcasting Supported by NAB Madrid Group to Investigate The 150 to 550 kc. Band DEFINITE recommendation that the American delegation to the forthcoming International Radiotelegraph Conference at Madrid be instructed to favor widening of the broadcast Dr. Jolliff e band into the long waves was made by NAB for the first time at the preparatory committee session held May 11 at the Radio Commission. After several hours of discussion a subcommittee was appointed by Dr. C. B. Jolliffe, Commission chief engineer, who presided, to determine the minimum requirements of mobile and aviation services in the band between 150 and 550 kc. Now occupied by mobile, aviation and government services, these channels are recommended for exclusive broadcast use by the International Broadcasting Union (U. I. R.) in proposals to the Madrid Conference, and the NAB favors endorsement of that proposal so far as is possible. U. I. R. is the Association of European Broadcasters. The NAB stand was discussed by Louis G. Caldwell, former Commission general counsel, as chairman of the International Broadcasting Committee of that Association. It was the first time the organization officially had divulged its views, and grows out of resolutions adopted at the executive session of the NAB at its Detroit convention last October. Navy Objects OPPOSITION to the proposal was voiced by Capt. S. C. Hooper, director of naval communications, who was supported by other interests now occupying the long waves. Capt. Hooper said it would cost the Navy about $5,000,000 to move out of the region — a statement that was questioned by Mr. Caldwell. Motion for appointment of the subcommittee to investigate the long waves was made by Dr. J. H. Dellinger, chief of the radio section, Bureau of Standards, and was seconded by Capt. Hooper. It provides that a study be made of the propagation characteristics of these channels and their adaptability for broadcasting, as well as a study of the use now being made of them and the minimum requirements for mobile and aviation services. Dr. Jolliffe appointed himself chairman of the subcommittee, which probably will submit a report within the next two weeks to the full committee. He named Dr. Dellinger, Lloyd Espenschied, A. T. & T., and Paul Goldsborough, president of Aeronautical Radio, Mr. Caldwell Never Silent THOSE ten-second gaps between programs don't exist any more over WOKO, Albany, N. Y. Harold E. Smith, enterprising young manager of that station, has decided that these pauses constitute too much silence, and now is filling them in with piano interludes. Announcers Snedden Weir, Pat Riley and Marty Ryan, all accomplished pianists, now pick up the CBS artists' theme songs in whatever key they might be, and continue playing them until the next program, so there is never a second of silence over WOKO's air Inc., as members, along with one member each to be designated by NAB, Army, Navy, Department of Commerce (Airways Division) and the shipowners. Mr. Caldwell will represent the broadcasters. Proposals for the Madrid conference already have been circulated. The United States favored retention of the status quo with respect to broadcasting, but the delegation would go to the conference with an "open mind" regarding enlargement of the broadcast band. The current committee sessions, to be held from time to time until the American delegation sails for the conference, which opens Sept 3, are for the purpose of ironing out differences and to instruct the delegation on particular portions of the agenda. The delegation has not yet been named by President Hoover. Need Emphasized MR. CALDWELL emphasized the necessity of enlarging the broadcast band. He said the rights of the broadcaster should be considered on a plane with other services, and that the United States should not give up any of its existing facilities to other North American nations "before we have exhausted every opportunity to secure widening of the band here." Declaring this country has as much interest in widening the band as any other nation. Mr. Caldwell said the Mexican" situation is one to be contended with, and that if it were not for the depression, many U. S. channels would be ruined by the operation of Mexican stations squatting on them. Unless there are places provided in the ether to accommodate these built, building or planned Mexican and Cuban stations, the American broadcasting situation will be seriously endangered in the immediate future, he said. Already two clear channels are harassed by Mexican high power stations, he declared. It was Lt. Comdr. T. A. M. Craven, consulting engineer, and authority on international radio, who suggested that the subcommittee be authorized to investigate and report on the minimum require I ments of mobile services in the J band from 150 to 550 kc. With 1 such necessary services provided | for, the full committee then could f decide on the scope of its position | at Madrid with respect to invading this band for broadcasting. Page 16 BROADCASTING • May 15, 1932