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Bell system telephones and related equipment were made by Western Electric, a wholly owned subsidiary of AT&T Co. Member telephone companies paid a fixed fraction of their revenues as a license fee to Bell Labs.
At the close of 1899, the American Bell Telephone Company was acquired, for business purposes, by its own subsidiary, the American Telephone & Telegraph Company (AT&T), which then became the head of the monolithic and monopolistic Bell System.
Although others have come close to being recognized as the inventor of the telephone, Alexander Graham Bell is considered the inventor by most historians. Alexander Graham Bell was the founder of what became the Bell System in the USA and Bell Canada in Canada.
Bell Telephone Company president Josiah H. Penniman (left) and University of Pennsylvania provost Leonard H. Kinnard made the city’s first transatlantic call in January 1927. The call connected Bell’s headquarters at 1835 Arch Street with the British Telephone offices in London.
The first telephone had two parts: a transmitter and a receiver. The transmitter comprised three parts—a drumlike device (a cylinder with a covered end), a needle, and a battery. The covered end of the drumlike device was attached to the needle.
Responding to small-company complaints, a theory was developed by AT&T president Theodore Vail in 1907. That theory held that the telephone, by nature of its technology, would operate most efficiently as a monopoly providing universal service.
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Sep 20, 2024 · Bell patented his telephone first and later emerged the victor in a legal dispute with Gray. Today, Bell's name is synonymous with the history of the telephone, while Gray is largely forgotten. However, the story of who invented the telephone goes beyond these two men.