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494 HARVARD BUSINESS REPORTS
a short time. The new improvements were such that they could be added to the system already installed at a reasonable cost.
The Photophone was the most recently marketed of the recording systems, although many years of experimental work had been spent in perfecting the device. It was distributed by RCA Photophone, Incorporated, a wholly owned subsidiary of the Radio Corporation of America. The latter company had recently acquired control of a motion picture producing and distributing company and a chain of theaters. The Photophone recorded sound by photographing it on the film. RCA Photophone, Incorporated, distributed to theaters sound equipment for reproducing films which had been recorded on the Photophone. Studio reproduction indicated that the Photophone system was the equal of, if not superior to, the Vitaphone-Movietone system in sound reproduction.
Both the Photophone and Movietone systems would reproduce any films recorded by the sound-on-film method, whichever of the two systems was used in the recording. Moreover, the Photophone system had attachments for disc reproduction which might or might not be included in its installation. Installation of either the Vitaphone-Movietone or Photophone systems, therefore, would enable a theater to show films recorded by any one of the three processes.
Installation costs and service rental charges varied slightly in the Western Electric and Photophone systems. The installation charge on the Vitaphone-Movietone system for the Clayton Theater was $15,000. The Photophone system, including disc reproducing equipment, was available for installation at the Clayton Theater for $15,500. The same system without the disc equipment cost $13,500.
In any installation, the projectors in use at the theater were replaced by new projectors. The projector of the VitaphoneMovietone system was so designed that it would occupy the same space as the standard projector. The Photophone required a larger projector. Vitaphone-Movietone utilized horn speakers, whereas the Photophone system included cone speakers. All systems were equal from the standpoint of operation and mechanical simplicity. The Vitaphone-Movietone system had been installed by the largest theater in Clayton in October, 1928.