FIFTEENTH ANNUAL REPORT
FEDERAL
COMMUNICATIONS
COMMISSION
FISCAL YEAR ENDED JUNE 30, 1949
(With notation 01 subsequent important developments)
UNITED STATES GOVERNMENT PRINTING OFFICE 0 WASHINGTON 01950
For sale: by the: Superintendent of Documents, U. S. Govemment Printing Office
Washington i5, D. C. Price 35 cents
COMMISSIONERS
MEMBERS OF THE FEDERAL COMMUNICATIONS COMMISSION
(as of December 1, 1949)
CHAIRMAN
WAYNE Coy
(Term expires June 80. 1951)
PAUL A. WALKER
(Term expires June 30, 1953)
ROSEL H. HYDE
(Term expires June 30, 1952)
EDWARD M. WEBSTER
(Term expires June 30, 1956)
II
RoBERT F. JONES
(Term expires June 30, 1954)
GEORGE E. STEBLING
(Term expires June 30, 1950)
FRIEDA B. IlENNOCK
(Term expires .Tune 80, 1955)
LETTER OF TRANSMITTAL
FEDERAL COlrlMUNICATIONS COMMISSION,
W WJhinqton f!J5, D.O., DecembeT 30, 19J,9.
1'0 the 0 ong1'e88 of the United States:
Pursuant to section 4 (k) of the Communications Act, there is sub 
mitted herewith the Annual Report of th,,· Federal Communications
Commission for the fiscal year 1949.
CoVering lis it does the fifteehth :fear of operations by this Commis 
sion, the current report is particularly significant in reflecting the
mushrooming growth of the nonbroadcast services, and the steps that
have been taken by the Commission to provide for new or augmented
safety and special radio facilities to better serve the public and in 
dustry. Broadcast activities are marked by the boomiug interest in
television, and the attendant problems being dealt with by the Com 
mission in order to meet the demand for video expansion and improve 
ment. At the same time, the Commission's regulatory functioning
has been taxed by events in the common carrier field.
The Commission is hard pressed to keep abreast of kaleidoscopic
technical developments affecting both wire and radio communication,
and its normal field operations have been curtailed to some extent by
diverting manpower to projects with higher priority, In addition,
the Commission has increased responsibilities with respect to United
States participation in, and adherence to, international conferences
and pacts looking toward uniform global communication practices.
Though its monnting administrative and regnlatory work has
necessarily suffered from personnel and other budgetary restrictions,
the Commission's accomplishments in this year of unprecedented
electrical communication progress constitute a fitting fifteenth anni 
versary record.
Respectfully,
WAYNE COY,
OhaiTman.
nr
[ Page IV in the original document is intentionally blank J
-.. t
TABLE OF CONTENTS
Page
INTRODUCTORY SUMMARY_ _ __ __ _ _ __ __ __ _ __ __ __ _ _ _ __ __ _ 1
1. HigWights of the fiscal year__________________________________ 1
2. Subsequent events_ ___ __________ __ __ __ __ __ __ __ ___ __ __ _ 5
ObBpter
I. GENERAL___________________________________________________ It
1. Fifteenth anniversary__________________________________ 11
2. FunctionB_ __ __ ___ ____ ___ __ _ _____ __ _____ __ __ 11
3. Commission_ _____ ___ __ ___ __ ___ __ __ __ __ __ __ ___ _____ 12
4. Staff organization_____________________________________ 12
5. Personnel_ __________ __ __ ___ ___ __ __ __ __ __ __ ___ __ 13
6. Appropriations_ ____________________ ____ __ _____ __ _____ 14
7. L€glliJation___________________________________________ 14
8. Litigation_ ______ ___ __ ___ __ __ ___________ ___ __ _____ _ 15
9. Hearings_ ________ ___ ____ __ __ _________ _______ _ 18
10. Licenses and other authorizationB_______________________ 18
11. Applications and other filings___________________________ 18
12. Correspondence, releases, and pubJications________________ 19
II. RADIO FREQUENCIES~___21
1, Allocation of frequencies_______________________________ 21
2. International conferences______________________________ 23
3. Domestic frequency changes____________________________ 26
4. Interdepartment Radio Advisory Comrnittee_____________ 27
5. Treaty and interference cases___________________________ 27
6. Allocation and treaty rules_____________________________ 28
7. Frequency and station records__________________________ 28
III. RADIO BROADCAST SERVICES__________________________________ 29
1. General______________________________________________ 29
Broadcast reguJation_ _____________ __ __ __ _____ 29
Types of broadcast stations________________________ 29
Growth of broadcasting____________________________ 30
Broadcast appJications_ ____ __ _ ___ __ __ _______ 30
Construction permit__ ____ __ ___ _____ __ _ 30
Change in facility_____________________________ 30
Renewal_____________________________________ 31
Transfer of controL___________________________ 31
~oceduralchanges----------------------__________32
Broadcast hearings .____ 32
Broadcast programs-- _____ __ ____ ___ ________ 32
Editorializing by broadcast Jicensees_________________ 33
Programs involving lotteries or gift enterprises________ 33
Obscenity on the air_______________________________ 34
AVCO rule repealed_______________________________ 34
Spot advertlliing_ ________ __ __ _____ __ __ _____ _____ __ 34
Main studios_ ____ _________ _________________ __ __ __ 35
Radio time reservation in station saJes_______________ 35
Multiple ownership_ _ __ __ __ __ __ _____ __ ____ 35
l'retworks________________________________________ 35
Receiving sets_ __________ ____ __ _____ __ __ 36
V
VI TABLE OF CONTENTS
Chapter Page
III. RADIO BROADCA8T SERVICEs-Continued
2. Standard (AM) broadcast service_ ______________________ 36
Clear channels____ ________________________________ 37
540 kilocycles____ _________________________________ 38
North American Regional Broadcasting AgreemenL___ 38
3. Frequency modulation (FM) broadcast service____________ 39
FM service now available over large area____________ 39
Few new FM applications__________________________ 39
FM receivers_ _____________ _______________________ 40
Services provided by FM stations___________________ 40
4. Television (TV) broadcast service_______________________ 41
Increase in TV applications and service______________ 41
Experimental TV service_ ____ __ __ __ _ 41
Other television developments_ _____________________ 42
TV channel allocations_ ___________________________ 42
Ultra high frequency TV___________________________ 43
5. Noncommercial educational broadcast service_____ ________ 44
6. Facsimile broadcast service_____________________________ 45
7. International broadcast service_________________________ 45
8. Remote pick-up broadcast service_______________________ 45
9. ST (studio-transmitter) broadcast service________________ 46
10. Developmental broadcast service________________________ 46
11. Statistics______ __ __ __ ___ __ __ 46
Total broadcast allthorizations_____________________ 46
Broadcast authorizations by states and cities_________ 47
Broadcast authorizations by states______________ 48
Broadcast authorizations by cities_______________ 49
Broadcast applications____ _________________________ 50
AM broadcast applications_ ____________________ 50
Fl\I broadcast applications_____________________ 50
TV broadcast applications _____________________ 50
All other broadcast applications____ _____________ 50
Total br.oadcast applications____________________ 50
Broadcast deJetions '____ 51
Assignments and transfers__________________________ 51
Standard broadcast financial data___________________ 51
Frequency modulation broadcast financial data_______ 53
Television broadcast financial data_ _________________ 54
IV. SAFETY AND SPECIAL RADIO SERVICES__________________________ 57
1. GeneraL____ __ __ __ __ __ __ _ 57
2. Aeronautical radio services_ ____________________________ 58
Aviation organizations and conferences_ ______ ______ _ 59
Aircraft radio stations_____________________________ 61
Aeronautical land and aeronautical fixed radio stations_ 61
Civil air patrol stations____________________________ 62
Airdrome control stations__________________________ 62
Aeronautical mobile utility stations_________________ 62
Aeronautical navigation radio stations_______________ 62
Flying school radio stations________________________ 62
Flight test radio stations___________________________ 62
Aeronautical public service radio stations_ ____ ____ ___ 63
'1'ABLE OF CONTENTS VII
·Chapter :Pap
IV. SAFETY AND SPECIAL RADIO SERVIcEs-Continued
3. Marine radio services__________________________________ 63
General__________________________________________ 63
Administration.of ship safety provisions______________ 64
Voluntarily equipped ship stations___________________ 64
Ship_ radio exemptions_____ __ __ ____ __ _____ __ _ 65
International coordinatioll_ ____ ____ __ _________ __ __ __ 65
Radio Technical Commission for Marine Services______ 67
Safety on the Great Lakes__________________________ 68
Commercial coast stations__________________________ 68
Radar aids to navigatioll___________________________ 69
Equipment approvaL __ _____ __ __ __ __ __ _____ ____ _ 70
Interference problems_ ______ ___ ____________ __ __ ___ _ 70
4. Public safety radio services ,_________________ 70
Police radio service________________________________ 71
Fire radio service__________________________________ 72
Forestry-conservation ra.dio service .-_ _ 72
High\vay maintenance radio service__________________ 73
Special emergency radio service_____________________ 73
Developmental radio opera.tion______________________ 74
5. Land transportation radio services_______________________ 74
Rule changes_____ ______________ ____ ____ _____ __ ____ 74
Railroad radio service______________________________ 74
Taxicab radio service______________________________ 75
Automobile emergency radio service_ _________ __ __ ___ 76
Intercity bus radio service_ _________________________ 76
Highway truck radio service ..:________________ 76
Urban transit radio service_________________________ 77
6. Industrial radio services________________________________ 77
Power radio Rervice________________________________ 78
Petroleum radio service_ ______ ______ ______ __ __ ____ _ 79
Forest products radio service________________________ 80
Relay press radio service___________________________ 81
Motion picture radio service________________________ 81
Low-power industrial radio service___________________ 82
Special industrial radio service______________________ 82
7. Industrial, scientific, and medical service_________________ 83
8. Experimental radio services_____________________________ 84
9. Low-power radio devices_______________________________ 86
10. StatisticR__ __ __ __ __ __ __ __ __ 87
Authorizations_ __________________________ ___ ______ 87
Applications_ ___________ _______ ______ __ ____ _______ 89
V. COMMON CARRIERS__________________________________________ 91
1. Common carrier regulation_____________________________ 91
2. Telephone (wire and radio)_____________________________ 92
General__________________________________________ 92
Domestic telephone services_________________________ 93
Construction of wire facilities___________________ 93
Planned wire projects__________________________ 93
Television program networks____________________ 94
Microwave relay systems_______________________ 94
::vm TABLE" OF CONl'EN'l'S
.Chapter Pap
V. COMMON CARRlEas-Continued
2. T-elephone (wire.and radio)---,,-Continued
Domestic telephone services-Continued
Speed of service_______________________________ 94
Telephone service____ __ __ __ ___ ______ _______ 94
Cable landing licenses_ _ ____ ______ __ __ _________ 95
Discontinuance, reduction, or impairment ofservice. 95
Rural telephone service________________________ 96
New developments_ ___________ _____________ 96
Foreign attachment 085e8______________________ 96
Mobile radiotelephone service __________________ 97
Ship and aircraft service_______________________ 98
Short distance radiotelephone servioo____________ 98
Coastal and Alaskan service____________________ 98
International telephone service_____________________ 98
Message toll telephone service__________________ 98
Rates and tariffs__________________________________ 99
Rate schedules_____ ___ _________ _______ _____ 99
Specialpermissions~_~~__~_________ ____________ 99
Unlawful use of telephone facilities~_________99
Channels for TV program transmissioD__________ 100
Studies of Long Lines Department operatiollS_ ___ 100
Separation of property, revenues, a.nd expenses___ 100
Western Electric costs and prices review 101
Sta.te telephone rate cases______________________ 101
Depreciation_ ____ __ ___________ _______________ 102
Allocation of depreciation reserves of multistate
company___________________________________ 102
Toll rate study_____ _______ ________ ____ __ __ 103
Other regulatory matters___________________________ 103
Uniform systems of accounts~____103
Financing and refinancing______________________ 103
Pensions andrelieL_~_________________________103
Preservation of records~~____________ 104
New types of plant and services_ _______________ 104
Restatement of plant accounts on basis of original
cost~_____________________________104
Continuing property records____________________ 105
3. Telegraph (wire, cable, and radio)_______________________ 105
Domestic service and facilities______________________ 105
Western Union modernization program__________ 105
Construction of wire facilities___________________ 106
Speed of service_____ _________ _____________ __ __ 106
Microwave relay systems_ __________ __ _________ 106
Discontinuance or reduction of telegraph service_ __ 106
International telegraph service_____ _________________ 107
Circui~______________________________________107
Frequencies__________________________________ 108
Interference__________________________________ 108
Equipment___________________________________ 108
International conferences • ___ _______________ 109
Docket cases_ ___________________ ___ __________ 109
TABLE OF COmENTB IX
Chapter Pag&
V. C01llMO* CARRIERs-Continued
3. Telegragh (wire, cable, and radio)-Continued
Ratea and tariffs__________________________________ 110
RateBchedules_~• • 110
Special permisaioDs • • __ .__ 110
Western Union domestic rates__________________ 110
Channels for TV program transmission._________ 110
Baseball-.sports service by message and .direct
wrre_______________________________________ III
United States-Mexican telegraph rates.__________ III
International rate case_________________________ 111
Multiple address press ra.tes____________________ 112
Distribution of international traffic______________ 112
Other regulatory matters (domestic and international) __ 113
DepreciatioD~___ __ _ 113
Continuing property records____________________ 113
Pensions and relieL~________________113
Uniform system of &ccounts____________________ 113
Preservation of records________________________ 114
Reclassification of Western Union plant accounts__ 114
New types of plant and services________________ 114
4. StaUsycs_____________________________________________ 114
Telephone carriers_ ______ __ __ __ __ __ __ __ _ 114
Land line telegraph_______________________________ 115
Radiotelegraph and ocea.n-cable carriers______ __ _____ _ 115
Radiotelegraph carriers_ __ __ __ __ __ ___ __ __ 115
Ocean-cable c.arriers_ _______ __ __ __ __ 116
In~ernationaltelegraph traffic______________________ 116
Common carrier radiostations______________________ 117
Common carrier applications_______________________ 117
VI. RADIO QPERATORS___________________________________________ 119
1. GeneraL__ ________________ __ ___ __ __ __ ____ ___ __ 119
2. Commercial radio operators "___ __ 119
3. Special aircraft radiotelephone 8uthorizations_____________ 123
4. Amateur radio service_________________________________ 123
5. Citizens radio service__________________________________ 125
6. Statistics____ _________________ _______ __ ____ _ 126
Authorizations____ ___ ______________ __ __ __ __ __ __ 126
Applications___ ________ _____________ __ _____ __ _____ 127
VII. FIELD ENGINEERING AND MONITORING_________________________ 129
1. GeneraL__ ______________________________ __ __ ___ __ __ __ 129
2. Field offices__________________________________________ 129
3. Disaster emergency coordinatioD________________________ 130
4. Monitoring____ ______________ ___________ __ __ __ __ __ _ 130
Service performed by monitoring____________________ 131
Enforcement arm of monitoring_____________________ 132
5. Inspections~___ __ _ 133
Broadcast station inspections_______________________ 188
Ship station inspections~.________________ 134
Number of ship inspections_____________________ 134
Number of discrepancy notices served .__ 135
Violations cleared during inspectioDS_ ___ ___ __ 135
Inspection of other radio stations__ • • __ __ __ __ ___ 135
TABLE OF CONTENTS
Chapter Page
VII. FIELD ENGINEERING AND MONITORING-Continued
6. Operator examinatiollS____ ____ _______________ ___ _______ 135
7. InvestigatiollS ._ __ _________________________ 136
8. Technical operations~______________ 137
9. Field station location changes__________________________ 138
10. Statistics_____ ___ ____ __ ______________ __ __ _____________ 138
VIII. TECHNICAL STUDIES_____ _ __ _ _ _ _ _ _ _ _ _ _ _ __ __ _ _ _ _ _ _ __ _ _ __ _ _ __ __ _ 141
1. General______________________________________________ 141
2. Technical Information Divisioll_________________________ 143
Medium frequency projects_________________________ 143
Sunspot cycle recordiugs________________________ 143
Meteorologicalcondit~onsand their effect upon
field intensities __ ___ ______ _______________ _ 143
Atmospheric noise_____________________________ 143
Skywave pulse transmissions____________________ 143
Performance of directional antennas_ _ _ __________ 144
Technical studies and standards_ ____________________ 144
General______________________________________ 144
Low power rules and restricted radiation devices_ _ 144
The TVI (television interference) problem________ 144
Receiver radiatioll_ ____________________________ 145
Coordination of technical rules__________________ 145
Single sideband suppressed.carrier studies_____ ____ 145
Carrier current radiation measurements_ _________ 145
VHF and UHF propagation studies__________________ 145
VHF television project_________________________ 14.5
Projects in the FM band (88-108 megacycles)_____ 146
The WBAM-W2XCT project___________________ 147
The Trinidad project___________________________ 147
Other VHF and UHF projects__________________ 147
Technical cooperation with government and in-
dustry_____________________________________ 147
3. Laboratory Division -'-______________________ 148
General functions____ _ _____________________________ 148
Television_ ___ ___ __ __ ____ __ __ 148
Industrial heating, diathermy, and mislJellaneous equiP"'
ment___ ___ ________ _____________ _ ___________ _ 149
Stratovision____ ___________________________________ 150
Services other than broadc:msting____________________ 150
Propagation______________________________________ 151
Calibration of apparatus____________________________ 151
ApPENDIX________________________________________________________ 153
1. Field offices________________________________________________ 153
2. Publications___ ___ _____________ _____________________________ 155
3. Treaties and other internatfonal agreements____________________ 158
INTRODUCTORY SUMMARY
1. HIGHLIGHTS OF THE FISCAL YEAR
2. SUBSEQUENT EVENTS
1. HIGHLIGHTS OF THE FISCAL YEAR
GENERAL
The fifteenth year of operations by the Federal Communications
Commission found radio more active than ever before. In addition
to broadcast, radio was being used for an increasing number of public
and private purposes, and was entering the common carrier field to
an unprecedented degree.
When the Commission came into being in 1934, standard broadcast
was the only form of radio program service, and nonbroadcast sta 
tions were few in number. Today the radio spectrum is crowded
with about 50 different classes of stations engaged in radio communi 
cation. They represent more than 700,000 radio licenses and other
authorizations, not including over 200,000 associated mobile units.
Even with the advent of FM and television broadcasting, nonbroad 
cast stations outnumber program stations by about 36 to 1.
Radio Use is fast expanding on the land, on the sea, and in the air.
In the old days, protection of life and property was the major con 
sideration. Today business requirements must also be considered.
Such "war babies" as radar and microwave are having lusty growth,
and radio relay links are being extended. These and other develop 
ments ha'l'e brought many new and perplexing problems, many of
which ha'l'e international as well as domestic impact. At the same
time, research and regulation are equally hard pressed to keep "breast
of the mounting tempo of radio progresS.
Technical improvements have made it possible to use more fre 
quencies but, simultaneously, the number of people desiring to employ
radio has grown even more rapidly. The result is that the demand
for frequencies far exceeds the supply.
The development of FM and TV broadcasting, the rapid growth of
land mobile communication, the inauguration of microwave links
for general radio communication relaying, the increasing use of elee-
1
2 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
tronic aids to air and sea navigation, and the expansion of Government
radio services have all contributed toproblems of frequency alloca 
tion in the upper part of the radio spectrum.
And, as the ether becomes more congested, interference grows in
seriousncas. That is why mutual working arrangements are being
put into effect, not only between services, but betwoon nations.
The international aspect of radio has developed to such an extent
that the primary allocation of frequencies must now be made by treaty
or other agreement. This will permit maximum radio use with min 
imum interference. Most of this uniformity of purpose stems from
the Atlantic City convention of 1947. In consequence, the Commis 
sion helped to arrange and participated in nearly a score of interna 
tional meetings during the fiscal y'ear, and 16 others were in prospect.
BROADCAST
In broadcasting matters the year was marked by such a rush for
television facilities that action on applications for new TV stations
was deferred pending proceedings looking toward extending TV op 
erations into the ultra high frequencies, adopting a Nation-wide chan 
nel assignment plan covering commercial video broadcasting in both
bands and, at the same time, inquiring into the possibility of color
television. Even so, the year closed with 71 television stations serving
42 cities and metropolitan districts. In addition, more than 200 tele 
vision stations were in experimental operation.
Though 150 additional frequency modulation stations went on the
air during the year, the total number of FM authorizations decreased
by 155. However, FM service was available over almost all of the
eastern half of the United States, over most of the west coast area, and
in a number of cities and adjacent rural areas in the West. Thus,
more than 100 million people were within range of one or more FM
stations. Also, this was the first year of facsimile operation on a
commercial 15asis over FM stations.
Standard (AM) broadcast authorizations climbed to nearly 2,200.
However, fewer AM stations were authorized than in 1948. Greater
difficulty was experienced in wedging into this now very saturated
band.
The 58 noncommercial educational stations represented a gain of
12. ,International broadcast stations continued at 37. The 10 cate 
gories of broadcast services together had more than 4,000 stations.
Aggregate AM broadcast income for the calendar year 1948 de 
creased over 10 percent from the previous year, while that of the 4
major networks dropped more than 5 percent. Of 593 AM licensees
operating FM stations, 77 reported separate revenues from their FM
operation, with only 4 of the latter showing income. Of 107 FM
REPORT OF THE FEDERAL COMMUNlCATIONSCOMMISSION 3
stations with no AM connection, all but 3 of the 89 reporting stations
showed a loss. The 4 TV networks and 50 TV stations on the air
during the year all reported an operating loss.
A tabulation of AM, FM, and TV authorizations showed that Texas
had more such grants collectively than any other State, closely fol 
lowed by California, then Pennsylvania, New York, and North
Carolina in that order. However, Pennsylvania had the most FM
authorizations, while New York led the TV list. Chicago had more
broadcast grants than any other city. New York and Los Angeles
headed the FM and TV lists, respectively.
In June the Commission affirmed the right of broadcast licensees
to editorialize as part of their presentation of public issues, but.re 
iterated that such views may not be used to achieve a partisan or one 
sided objective.
NONBROADCAST
Because developments have made it possible to move "upstairs" in
the radio spectrum, the Commission is able to be more liberal regard 
ing the general public use of radio. Results of experimental opera 
tions invited a complete revision of frequency allocations and rules
for two-way radio communication by all types of land vehicles, which
became generally effective July 1, 1949. Two new groups of services
were established-Land Transportation and Industrial.
The nonbroadcast services (exclusive of operators), which had less
than 10,000 authorized stations in 1940, increased to more than 61,000,
not counting their associated mobile units. These services fall into
two general categories: (1) those devoted to safety, and (2) those
used by commerce, industry, and science.
The largest single group is composed of more than 27,000 aeronau 
tical stations, followed by 20,000 stations in themarine services. They
added some 6,400 and 5,000 new stations, respectively, during the year.
Land public-safety stations added about 800 stations, bringing their
total to some 5,700, including 4,800 police stations, 124 fire, 600 forestry,
200 highway maintenance, and 100 special emergency.
Industrial authorizations neared 4,300-2,700 power, 800 petroleum,
150 forest products, and over 600 others.
Land transportation stations exceeded 3,500-334 railroad, 80
transit utility, 30 bus and truck systems, and over 3,100 taxicab
systems.
Experimental authorizations approximated 500.
These figures do not include associated mobile units, which number
more than 43,000 police, 24,000 aeronautical, 17,000 fire, 7,000 forestry,
27,00~industrial, 3,700 railroad, transit, highway, etc.; and 74,000
experImental. The latter embrace 46,000 individual taxicabs, 600
trucks and buses, and 24,000 vehicles in common carrier service.
4 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
COMMON CARRIERS
Telephone facilities continued to expand, and the telegraph system
pushed its mechanization program. The former extended its coaxial
cable network, and both were engaged in microwave operation. The
number of fixed radio stations handling general public communica 
tious traffic exceeded 1,000, but 24 times that many experimental mobile
units were linked to the telephone system.
On June 1, 1949, the Commission invited comment and proposals
on the question of whether rules should be adopted with respect to
protecting telegraph or telephone employees in connection with the
discontinuance or reduction of service.
Telephone and telegraph tariffs now include a provision that these
facilities will not be used for unlawful purposes and, further, will
not be furnished if local law-enforcement agencies determine that such
service is being or will be used in violation of law..
Telephone business ran about 10 percent ahead of last year. New
facilities were added at the rate of more than 3 million dollars a day.
More than 39 million telephones were in domestic service and the
Bell system, which operated about 82 perceut of this total, handled
over 42 billion calls during the year. Bell's rural telephones increased
to nearly 2'12 million. Dial systems were on the increase.
On January 11, 1949, the eastern and midwestern coaxial networks
were connected. Microwave links were being added or proposed.
These facilities were made available for television relay as well as
for other communication. However, questions of rates and inter 
connection were raised in their TV operation.
Common carrier mobile radiotelephone service was especially active.
Telephone companies and nontelephone companies were serving ve 
hicles in 146 and 64 cities, respectively. There has been such a demand
for this service that the Commission prescribed an order of precedence
for carriers to serve new customers.
In the international field, radiotelephone service was opened with
7 additional countries, making 81 countries outside of North America
so served-53 with direct circuits. Nearly 600,000 calls were handled
in 1948.
Telegraph activities were marked by1Vestern Union proceeding with
its 72 million-dollar modernization program, its continued use of a
microwave circuit connecting New York, 'Vashington, and Pittsburgh,
and the establishment of a microwave circuit between New York and
Philadelphia for TV transmission. The Commission granted more
than 900 requests for discontinuance or reduction in hours of telegraph
offices, mostly small offices in places where other service was available.
On the urgent plea of overseas telegraph carriers for additional
revenue, the Commission authorized, effective February 2, 1949, in 
creased rates estimated to produce over $3,100,000 annually. Direct
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 5
radiotelegraph service was established with 4 additional countries,
making such service available to 69 overseas points, as well as other
places having connections with foreign carriers. International cable
and radiotelegraph carriers handled more than 562 million paid words,
of which282 million were outgoing.
RADIO OPERATORS
Rules to enable citizens to use two-way personalized radio when ap 
proved sets are available became effective June 1, 1949. Other radio
operator authorizations increased more than 61,000, making an exist 
jng total in excess of 645,000. Of this number, over 378,000 were com 
mercial operators and more than 80,000 were amateurs. The latter
operated over 81,000 stations. Special radiotelephone anthorizations
to operators of private aircraft exceeded 100,000.
FIELD
Though its normal fnnctioning was affected by budgetary and higher
priority matters, the field staff made about 23,500 inspections, includ 
ing 11,000 ships and 12,500 land stations, and served 10,000 violation
notices as a result. It also handled over 28,000 monitoring cases, in
which it served over 11,000 notices; made 8,200 other investigations;
inquired into 7,fiOO cases of interference; located 155 unlicensed radio
operations, and responded to nearly 150 requests to help locate lost
aircraft. In addition, it gave 41,200 operator examinations, and issued
nearly 100,000 operator authorizations.
TECHNICAL
Radio's growth and other developments emphasized the work of the
technical staff in advising the Commission on frequency behavior,
service ranges, interference, channel separations, power limitations,
and other highly complicated matters that are fundamental to fre 
quency allocation and the promulgation of rules and standards. This
was particularly marked in questions affecting television, new non 
broadcast services, and interference problems. Certain new manu 
factnred equipment was tested and type approved at the Commission's
laboratory before being placed on the market.
MISCELLANEOUS
The only change in the complexion of the Commission during the
year was the addition of its first woman member-Frieda B. Hennock.
The Commission fnnctioned with a personnel of less than 1,400, about
one-third of whom were in the field. Its fiscal 1949 appropriation
was $6,717,000.
2. SUBSEQUENT EVENTS
BroadcCMt.-On August 19, 1949, the Commission announced the
adoption of rules affecting lotteries and "give-away" programs in the
6 REPORT OF THE FEDERAL COMMUNICATIONSCOMMISBION
light of the ban on these programs in section 1304 of the United
'States Code. The rules are substantially the same as those proposed
August 5, 1948 (Docket 9113), mentioned elsewhere in this report.
.They were scheduled to become effective October 1, 1949 but, in view
of court actions in Illinois and New York, the Commission on Sep 
tember 21, 1949 postponed the effective date of the rules until final
court determination.
Acting on requests for continuance, the Commission on July 28,
1949 postponed to September 26 the commencement of hearing in
the general television proceedings (Dockets 8736 et al.). Previously,
on July 20, 1949, it requested holders of experimental TV authoriza 
tions to furnish research and experimentation data in this connection.
On the same date it denied request by the Television Broadcasters
Association for a partial lifting of the "freeze". There were special
filings on color television. Various experimental demonstrations of
color transmission over regular TV broadcast facilities, for reception
on special receivers, took place in the summer and fall. The general
hearing started September 26 with testimony on the color phase.
At the turn of the fiscal year the Commission addressed letters to
certain motion picture interests and obtained replies concerning their
plans and views with respect to theatre television. Since 1945, cer 
tain frequencies have been available on an experimental basis for the
development of theatre television. The latter is not involved in the
general TV proceedings previously referred to.
By late fall, more than 3 million TV receivers were estimated to be
in use, and TV network facilities linked 24 cities.
Because of economic problems affecting FM broadcasting, the Com 
mission on August 4, 1949 proposed to liberalize certain FM rules
regarding radiated power and antenna height. On August 24, 1949,
it scheduled hearing for December 12 thereafter to determine whether
a suitable multiplex FM system has been developed which will not
degrade the full tone range of which FM is capable. Multiplexing
eoncerns the simultaneous broadcast of facsimile and FM aural pro 
grams on the same channel.
At the instance of FM broadcasters, rules to increase the minimum
operating schedule of such stations were proposed by the Commission
on November 16, 1949. Amended pick-up broadcast station rules be 
came effective October 24, 1949. On November 17 the Commission
announced that it would grant no further authorizations for point-to 
point relay of TV programs for nonexperimental exhibition purposes.
The first broadcast station authorization to the Virgin Islands was
made September 7, 1949, when a construction permit was issued for
an AM station at Charlotte Amalie, St. Thomas.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 7
Nonbroadcast.-At a. meeting of representatives of interested com 
panies and government agencies on August 9, 1949, a joint industry 
government group was established to study various problems in con 
nection with rules proposed for incidental radiation devices.
Rules to exempt opera.tors of approved diathermy and industrial
heating devices from being required to eliminate a certain type of
interference to inadequately shielded television receivers were adopted
by the Commission, effective December 1, 1949 (Docket 9386).
On August 4, 1949 the licenses of all provisional radio stations
expiring in the period July 1-November 1, 1949, were extended to the
latter date to enable them to apply for recla.ssification in the new
services which supplant the provisional type station.
Oomrrwn carrier.-During July the Commission requested tele 
phone and telegraph companies to furnish information on present and
planned coaxial cable and microwave fa.cilities intended for television
relay purposes. In August a similar request went to authorized TV
stations with respect to existing wireline connections with their trans 
mitters.
On September 8, 1949 the Commission issued a proposed report in
Docket 8963 in which it concluded, among other things, that tariff
regulations of the American Telephone and Telegraph Co. are unjust
and unreasonable to the extent that they permit the Bell system not to
furnish intercity television transmission connections with private
facilities of TV broadcasters until such time as common carriers can
provide an adequate video relay system. The rate aspect, and the
refusal of the Ben system to interconnect its TV transmission facili 
ties with those of Western Union, are involved in further proceedings.
On August 10, 1949 the Commission authorized new microwave
circuits, esti';'ated to cost 17 million dollars, to be used for telephone
and TV transmission between Pittsburgh-Chicago, Chicago-Des
Moines, Albany-Syracuse, Richmond-Norfolk, and Milwaukee-Madi 
son. A new Bell coaxial cable, which will carry hundreds of addi,
tional telephone conversations and three more television channels, was
placed in service between New York and Philadelphia September 1,
1949.
On August 4, 1949 the Commission ordered hearing to be held
October 4, 1949 on the joint application of various telephone com 
panies to acquire certain telephone properties of 'Western Union
(Docket 9235), mentioned in the chapter on Common Carriers.
The Western Union Telegraph Co. wa.s granted 1 year extension of
time, from September 27, 1049, to divest itself of international tele 
graph operations as required by section 222 (c) (2) of the Commu 
nications Act, as amended, and pursuant to Commission order of Sep-
859490--50----2
8 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
tember 27,1943 (Docket 6517) approving merger of Postal Telegraph
with Western Union.
Commission Chairman Coy, as chairman of the United States dele 
gation to the International Telegraph and Telephone Conference
(Paris, May-August 1949), on October 31, 1949, transmitted to the
Department of State a report on the conference, which was released
by that department on November 4. Meanwhile, on October 21, the
Commission ordered a further hearing, to be held December 5 there 
after, to determine what changes, if any, should be made in interna 
tional telegraph rates as a result of the Paris and London conferences.
An initial decision looking toward a grant of Mackay Radio and
Telegraph Co.'s applications for authority to communicate with Por 
tugal and The Netherlands and denial of its application to communi 
cate with Surinam (Docket 8777) was issued July 29,1949.
OperatoT8.-The Commission on July 27, 1949, designated October
10, 1949 as the date of an informal conference to discnss proposed
amendments to the amateur rules (Docket 9295), referred to in the
chapter on radio operators.
On August 24, 1949 the Commission proposed to establish a new
nontechnical commercial radio operator authorization to be known as
"Radiotelephone third class operator permit" (Docket 9424). Tem 
porary waiver of operator requirements for ship radar stations ·was
extended from November 15, 1949 to May 15, 1950.
Mi8cellameous.-By actions of March 9 and September 16, 1949, the
Commission made available to the Bureau of Labor Statistics labor
data relating to common carriers and hroadc;ast stations for processing
and publication by the Department of Labor.
On October 21, 1949, the COnmUssion establishe,] a consolidated
Amateur, Citizens Radio and Operator License Branch'in its License
Division, and changed the name of the Technical Information Divi 
sion, Bureau of Engineering, to Technical Research Division.
As of October 31, 1949, outstanding radio authorizations exceeded
737,000, an increase of more than 25,000 in the four months since the
close of the fiscal year. Comparative figures for services and groups
follow:
Service
Broadcast:
Standard (AML _~_
Frequency modulation (FM) ' . • _
Television (TV) _
'l'cle\'ision (expel'imental). . _
Noncommercial educational. _
InternationaL. _
Facsimile. .___________ __. _
Remote pick-up . _
Studio transmittkr (S'1') . _
DevelopmentaL._ _ , .
June 30, Oct. 31, Increase or
1949 1949 (decrease)
2,179 2,m 50
865 815 (-50)
Il7 112 (-5)
205 217 12
58 66 8
37 37 0
,
0 (-2)
580
5"
9
28 29 1
I'
11 (-3)
4,085 4,105 20
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 9
June 30, Oct. 31, Increase or
1949
,...
(decrease)
27,227 29,247~D20
20,004 22,256 2,252
5,700 6,124 424
14,268 4,852
58'
13,586 3,462 (-124)
455
'54
(-1)
46 43 (-3)
61,286 66,438 5.152
20 20 0
57 58
,
795 733 (-62)
174 180 6
1,052 997 (-55)
378,500 389,366 10,866
104-,5fl9 llO,655 6,086
80,721 82,412 1,691
81,675 83,485 1,810
122 104 72
645,587 666, ll2 20,525
712,010 737,652 25,642
Service
TotaL __ , _
Grand totaL _
Radio operators;
COmmerciaL __ . • .... _
Aircraft radiotelephone . . _ _ . . ._
Amateur Operators__ . ,. __ . _
Amateur statioDS _
Citizens_~_
Total common carrier services • _
Common carrier:
Fixed pubHc telephone _
Fixed public telegraph.
Land mobile... _
Experimental. _
I--~I--
Total nonbroadcast services~
Nonbroadcast;
Aeronautical. _
Marine. _
Publicsafety__ _ _
IndustriaL • . __ .
Land transportntlon__________ _ _
Expl'rimentaL _
Miscellaneous. _
I Re.... lsed figures.
( Page 10 in the original document is intentionally blank 1
CHAPTER I. GENERAL
1. FIFTEENTH ANNIVERSARY
2. FUNCFIONS
3. COMMISSION
4. STAFF ORGANIZATION
5. PERSONNEL
6. APPROPRIATIONS
7. LEGISLATION
8. LITIGATION
9. HEARINGS
10. LICENSES AND ornER AUTHORIZATIONS
11. APPLICATIONS AND OTHER FILINGS
12. CORRESPONDENCE, RELEASES, AND PUBLICATIONS
1. FIFTEENTH ANNIVERSARY
The fiscal year 1949 marked the fifteenth year of operation of the
Federal Communications Commission.
It was on June 19, 1934, that the Communications Act was signed.
This law established the Federal Communications Commission to
regulate interstate and international communication by means of tele 
graph and telephone, also all radio transmission to the inclusion of
broadcast. Besides unifying tasks previously performed by several
Federal agencies, the act gave the Commission broader supervisory
powers in this field.
2. FUNCFIONS
In general, the Commission's duties include supervision of common
carrier land wire, ocean cable and radio services; allocation of radio
frequencies, and licensing of radio stations and radio operators;en~
couraging new uses for radio, particularly in promoting safety of life
and property on the land, on the sea, and in the air; participation in
formulating and domestically administering wire and radio provi 
sions of treaties and other international agreements to which the
United States is a party; and assistance in coordinating the use of
the many forms of electrical communication with the national security
program.
The tremendous expansion in scope and extent of the communica 
tions industry has added to the problems and workload of the Corn-
U
12 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
mission. Besides being required to participate in an increasing num 
ber of international conferences, the Commission's regulatory duties
must provide rules and regulations, engineering standards, and over-all
policy determinations to meet new developments and, at the same time,
minimize the administrative problems involved in regulation. In so
doing, it must conform to the Administrative Procedure Act which
prescribes a definite procedure for Federal agencies to follow in rule 
making.
The Comnlission exacts no fee or other charge in connection with its
application, licensing, unclotheI' functions.
3. COMMISSION
The Commission is an independent Federal establishment created
by Congress and, as such, reports directly to Congress. It is adminis 
tered by seven Commissioners appointed by the President, subject to
confirmation of the Senate. The President also designates the chair 
man. Commissioners hold office normally for 7 years. Not more than
four Commissioners may be members of the same political party.
In 1949 the Commission continued to function as a unit, directly
supervising all activities, with delegations of responsibility to boards
and committees of Commissioners, individual Commissioners, and the
staff. Policy determinations were made by the Commission as a
whole.
The only change in the complexion of the Commission during the
year was the addition of Miss Frieda B. Hennock, who took office
July 6, 1948, for seven years, succeeding Clifford J. DurI'. On May
4, 1949, Commissioner Edward M. 'Webster was renominated for a
seven-year term. He was confirmed by the Senate on July 20, for the
period from June 30, 1949. (The Conunission's 1948 annual report
inadvertently omitted mention that Commissioner George E. Sterling
took office on January 2, 1948, under a recess appointment to succeed
Ewell K. Jett, resigned as of December 31, 1947, whose term expires
June 30, 1950.)
4. STAFF ORGANIZATION
As of J nne 2, 1949, the chairman was made responsible for the
general administration of the internal affairs of the Commission, with
the duty of keeping the Commission advised of his actions taken nnder
this delegation of authority. This abolished the Bureau of Adminis 
tration as an entity under the Commission and, iu its stead, established
an Office of Administration under the chairman.
In consequence, there are now four bureaus-Engineering, Account 
ing, Law, and Secretary-augmented by a Hearing Division, a Special
Legal and Techuical Group, an Office of Information, and the new
Office of Administration. The Bureaus of Engineering, Accounting
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 13
and Law are, in effect, broken down into comparable divisions for co 
ordinated operation.
Organization of these bureaus and the Office of Administration
follows:
Bureau of Engineering.-FM Broadcast, Television Broadcast,
Standard Broadcast, Common Carrier, Aviation, Radio Operator and
Amateur, Marine Radio and Safety, Field Engineering and Monitor 
ing, Technical Information, Public Safety and Special Services, Lab 
oratory, and Frequency Allocation and Treaty Divisions.
Bureau of Acoounting.-Economics .and Statistics Division (Com 
mon Carrier, Broadcast, and Special Studies Branches) ; Broadcast
Division (Applications, Renewals and Annual Reports, and Hearings
Branches) ; Rates Division (Tariffs and Telephone Rates, and Tele 
graph Rates Branches) ; Accounting Regulation Division (Develop 
ment and Compliance, and Original Cost and Depreciation Branches) ;
and Field Division.
Bureau of Law.-8afety and Special Services Division (Aviation
and General Mobile, Marine Operator and Amateur, and Emergency,
Experimental and Miscellaneous Branches); Broadcast Division
(AM, FM, TV, Renewals and Revocations, and Transfer Branches) ;
Litigation and Administration Division (Litigation, and Adminis 
tration Branches); Common Carrier Division (Rate, International,
Domestic "Vire, and Domestic Radio Branches) .
Bureau of the Secretary.-Licellse, Service, and Records Divisions,
and Minute and Library Branches.
Office of Admini8tration.-Budget and Fiscal Division, Organiza 
tion and Methods Division, and Personnel Division.
As of June 2, 1949, the Commission removed staff members en 
gaged in hearing and opinion work from supervision by officials hav 
ing prosecutory or investigatory functions by placing the former
nnder the immediate direction of the Commission. This resulted in
a number of special legal and technical assistants being detailed to
work on hearing matters for the Commissioners as a body.
Administrative rule changes, made effective at the same time, au 
thorized initial decisions to be issued by hearing examiners orCom~
missioners presiding at hearings, and motions formerly handled by
the Motions Commissioner, with certain exceptions, to be acted upon
by hearing examiners. One result is that initial decisions have sup 
planted proposed decisions of the Commission.
5. PERSONNEL
On June 30, 1949, a total of 1,340 persons were employed by the
Commission. This is a reduction of 40 during the year. Personnel
distribution was:
14 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Bureau Washington Field Total
~~--~=:::::::::::::::::::::::::::::::::::::::::::::::~~~~
Accounting_~._••• ._______________ ____ 119 36 166
Secretary .._._._. . __..... .. . .__ 259 0 2M!
Ad.min.iBtratJVe· ·_···· · ·
1
c:
'OO
::..I -:cC,°_I__-,,..':::00
TotaL•. ._... ... .. .____ 876 4M 1,340
6. APPROPRIATIONS
A break-down of the Commission's appropriations and expenditures
for the fiscal year 1949 follows:
Appropriations liJa:penditures
Reg u 1 a r appropriations Personal services $5, 990. 627
(salaries and expenses) __ $6,310,000 Travel -f-____ 74,982
Deficiency-P. L. 900______ 367.000 Transportation of things__ 22,404
Printing and binding______ 40,000 Communications 146,279
-:---- Rents and utilities_______ 63,561
Total funds avail· Printing and binding______ 38,898
able______________ 6,717,000 Other contractual services__ 71,040
Supplies and materials____ 130,439
Equipment 173,023
Total obligations _
Transfer to public health__
Savings, unobligated bal-
ance _
6,711,259
2,230
3,511
Total 6,717,000
7. LEGISLATION
During the fiscal year 1949, no substantive changes were made in
the Communications Act and no laws were enacted which directly af 
fected the Commission's functions or jurisdiction. However, numer 
ous bills were introduced and considered by Congress which did,
directly or indirectly, concern the Commission.
The most important of these were S. 1973, introduced by Senator
McFarland, which would make substantial changes in the Communi 
cations Act, and would extensively revise the organization and pro 
cedures of the Commission in several major respects; H. R. 2915, intro 
duced by Congressman Hobbs, which would revise the procedure for
handling appeals to the courts from Commission decisions; S. 238,
introduced by Senator Johnson, which would authorize the Interstate
Commerce Commission to require railroad common carriers to install
and maintain communication systems; and H. R. 3644, H. R. 4048 and
H. R. 4124, all of which would amend section 605 of the Communica 
tions Act which deals with the unauthorized interception of communi 
cations. Congressional committee hearings were held on all but the
REPORT OF THl;l FEDERAL COMMUNICATIONS COMMISSION 15
last three of these bills and the Commission appeared and pI"!'S"nted
extensive testimony. In addition, the Commission prepared comments
on more than 50 other proposed bills containing provisions having a
bearing on the Commission's activities.
8. LITIGATION
Section 401 of the Communications Act confers upon the district
courts of the United States jurisdiction to enforce the Communica 
tions Act and orders of the Commission. Judicial review of Com 
mission actions is provided for in section 402 of the act. Section
402 (a) gives jurisdiction to the district courts over suits to enforce,
enjoin, set aside, annul, or suspend any order of the Commission (with
certain exceptions) ; section 402 (b) provides for appeal from other
decisions of the Commission to the United States Court of Appeals for
the District of Columbia. The great majority of cases involving re 
view of Commission action is instituted in the latter court.
During the fiscal year, there were 31 cases involving the Commission
in the Federal courts. Of this total, 17 cases were instituted in the
Court of Appeals, 3 in district courts, and three were in the United
States Supreme Court. The other 8 caSes were pending at the start
of the fiscal year.
The Supreme Court upheld the Commission in the three cases
brought before it. The Court of Appeals upheld the Commission in
nine cases but in six cases the Commission's decision was reversed by
that court. However, in two of these latter cases which were taken
to the Supreme Court by the Commission, the decision of the Court
of Appeals was reversed. In the district courts, two cases were de 
cided, both in favor of the Commission.
At the close of the fiscal year 12 cases were pending in the Court of
Appeals for the District of Columbia and 1 pending in the United
States District Court for the Northern District of Illinois.
The following cases decided during the fiscal year were of particular
interest:
1. In Federal Oorwmwnwations Oorwmission v. WJR, the Goodwill
Station,lnc. (337 U. S. 265, 69 Sup. Ct. 1007), WJRcontended it would
suffer electrical interference from the grant of a new station on the
same frequency during daytime hours only in an area where its
signal was of an average intensity of 32 mv1m. The Commission had
denied a petition to set aside the grant to the new station on the
grounds that the alleged interference occurred outside the protected
contour of WJR. The Commission took this action on the basis of
the written pleadings filed by WJR and the new station which pre 
sented no disagreement as to the facts. By a divided court, the Court
of Appeals reversed the action of the Commission on the grounds that
16 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
WJR,.as a matter of constitutional law, was entitled to a hearing, at
least by way of oral argument, before the petition could be denied.
Upon review by the Supreme Court, the decision of the Court of Ap 
peals was reversed, the Supreme Court holding unanimously that
under the circumstances of the case neither the Constitution nor the
Communications A·ct required that WJR be afforded a hearing before
its petition could properly be denied. The Supreme Court remanded
the proceedings to the Court of Appeals for a decision as to whether
or not the Commission was correct in its disposition of the WJR peti 
tion on the merits. The case now awaits further proceedings in the
Court of Appeals.
2. In FedeTal OommA.bnwations OommissiOn v. Broadcasting Service
Organization, Inc. (WORL) (337 U. S. 901, 69 Sup. Ct. 1047), the
Supreme Court in a per curiam decision on May 16, 1949 reversed the
Court of Appeals for the District of Columbia and upheld the Com 
mission's determination that a renewal of a station license would not
be in the public interest where the licensee had on a number of occa 
sions submitted false information to the Commission concerning the
ownership of its stock and its financial status, and had withheld other
information it was obliged to report under the Communications·Act
and the Commission's Rules and Regulations. The Commission had
found in its decision that these derelictions were the result of either
a willful deception or at least reckless indifference to the responsi 
bilities of a licensee. The Supreme Court sustained the Commis 
sion's contention that it could infer such willfulness or recklessness
from substantial evidence reasonably supporting the inference despite
the alleged absence of direct evidence of intent to deceive and of
motive.
3. In Oarlson v. FedeTal OOmJl11JUnications Oommission (172 F. 2d
766), the Court of Appeals for the District of Columbia similarly
affirmed a decision of the Commission denying an application for
renewal of a station license on the gronnds that the applicant had
persistently violated the Commission's Rules and Regulations and
Standards of Good Engineering Practice. The Supreme Court de 
nied a petition for certiorari on Jnne 13, 1949 (337 U. S. 930, 69 Sup.
Ct. 1494).
4. In three cases decided by the Court of Appeals, Bay State Bea 
con, Inc. v. Federal OomrnJUnications Oommission (App. D. C., 171 F.
2d 826), Kentucky Broadcasting 00. v. Federal Oommwnications
Oommission (App. D. C., 174 F. 2d 38), and Johnston Broadcasting
00. v. Federal Oommwnications Oommission (App. D. C., May 4,
1949), the court recognized and upheld the Commission's authority
to examine the proposed program plans of competing applicants. In
the Bay State Beacon case, the Commission's authority to consider the
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 17
proportion of time devoted to sustaining and commercial programs
as a relevant factor in passing on competing applications was upheld.
In the Kentuoky Broadcasting 00. case, the Commission's authority
to consider past program structure of an applicant with respect to
the amount of time devoted to locally originated programs was upheld.
In the Johnston case, the Commission's decision was reversed by the
court because the successful applicant had signed and sworn to his
application prior to the completion of the necessary attached engi 
neering report. However, the court expressly upheld the right of the.
Commission, in comparative cases, to consider as one important :fac 
tor in choosing between competing applicants the fact that one appli 
cant proposed to present a relatively large number of programs de 
voted to consideration of controversial issues and other public affairs
of interest to the community to be served, whereas the competing ap 
plicant proposed to devote a substantially lesser percentage of his
time to such programming.
5. In Plains Radio Broadcasting 00. v. Federal Oommunications
Oommission (App. D. C., May 4, 1949), the Court of Appeals reversed
a decision of the Commission on the ground that the findings of fact
in its decision were insufficient to support the Commission's conclu 
sions granting the application of one of two competing applicants for
radio facilities. In its opinion, however, the court expressly affirmed
the authority of the Commission to cousider the newspaper owner 
ship of or control over a given applicant, or the fact that such appli 
cant also owned or controlled other stations serving a substantial per 
centage of the area to be served by the proposed new station, in deter 
mining which of the two applications would best serve the public
interest, convenience or necessity.
6. In Easton Publishing 00. v. Federal Oommunications Oommis 
sion (App. D. C., May 4, 1949), decided the same day, the court, in
reversing a decision of the Commission because of the insufficiency of
its findings and conclusions, affirmed the Commission's holding that
in determining the amonnt of existing radio service available to vari 
ous communities in choosing between mutually exclusive applicants
for stations in such communities, it could consider AM and FM sta 
tions as being in separate categories to be independently evaluated ac 
cording to the particular circumstauces of each case.
7. In Mansfield Journal 00. v. Federal Oommunications Oommis 
sion (App. D. C. 173 F. 2d 646) and KFAB Broadcasting 00. v. Fed 
eral Oommunications Oommission (App. D. C., June 13, 1949), the
Court of Appeals handed down decisions to the effect that the Com 
mission was not required to consider upon a comparative basis pend 
ing applications for facilities in the same community where, at the
time of Commission action, there were sufficient cnannels orfa~ilities
18 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
available to enable the Commission to grant anyone of the pending
applications without adversely affecting the possibility of granting
any of the other applications pending at the time of the action taken.
9. HEARINGS
Under provisions of the Communications Act, an application can·
not be denied or an existing authorization modified arbitrarily with 
out affording an opportunity for a hearing. The bulk of the Com 
mission's hearings involve determination of which of several
applications for the same or conflicting broadcast facilities should be
granted, and whether the facilities applied for would interfere with
the operations of stations already authorized.
Docket summaries for the fiscal year follow:
Pending
Deslgna.ted
DisposedDL~pogedPending
July 1,
lor hearing
of without of follow- June 30,
194' bearing
inghearing
194'
Broadcast______________ • _. __ •_____________
7l'
334 2llO 163 OW
~~=~~~~?~~~::::::::::::::::::~::=:=
29 12 17 5 19
21 25 11 7 2S
Other_.____ ._._••____ • ____~.~._~___._~____
3 12 2
• •
TotaL_~____•___________ . ____________
771 383 320 17'J Il65
10. LICENSES AND OTHER AUTHORIZATIONS
As of June 30, 1949, the Commission had more than 700,000 out 
standing licenses and other authorizations. Of this number, some
4,000 were in the broadcast services, and nearly 145,000 in the non 
broadcast services, exclusive of operators who approximated 564,000.
Thefigures on station authorizations do not include more than 200,000
transmitters on associated mobile units.
The Communications Act extends the license privilege only to citi 
zens of the United States. It is denied to corporations in which any
officer or director is an alien or of which more than one-fifth of the
capital stock is owned by aliens or foreign interests.
11. APPLICATIONS AND OTHER FILINGS
Nearly 225,000 applications of all kinds were received by the Com 
mission during the year. The broadcast services accounted for almost
6,300 of these, while those in the nonbroadcast radio services amounted
to more than 86,000, including over 33,000 for amateurs. Commer 
cial radio operator applications topped the 100,000 mark, while re 
quests for special aircraft authorizations exceeded 26,000. Common
carrier applications totaled nearly 3,200. Tariff and other common
carrier filings, not included inthe foregoing figures, aggregated 32,000,
of which number about 25,000 were tariff schedules and the remainder
were monthly and annual reports which also required analysis.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 19
12. CORRESPONDENCE. RELEASES, AND PUBLICATIONS
Almost 1,150,000 communications in the form of letters and tele 
grams were handled by the Commission in the 12-month period. Of
this total, more than 800,000 were incoming messages and nearly
350,000 were outgoing.
Public notices, orders, decisions, and opinions issued during the year
required nearly 60,000 stencils, over 8,000,000 sheets of paper, and
more than 12,000,000 mimeographed impressions.
The Commission's printed publications are processed at the Gov 
ernment Printing Office and are sold by the Superintendent of Docu 
ments. A list of those currently available appears in the appendix.
[ Page 20 in the original document is intentionally blank ]
CHAPTER II. RADIO FREQUENCIES
I. ALLOCATION OF FREQUENCIES
2. INTERNATIONAL CONFERENCES
3. DOMESTIC FREQUENCY CHANGES
4. INTERDEPARTMENT RADIO ADVISORY COMMITTEE
5. TREATY AND INTERFERENCE CASES
6. ALLOCATION AND TIIEATY RULES
7. FRElfUENCY AND STATION RECORDS
I. ALLOCATION OF FREQUENCIES
It is. a fundamental duty of the Commission to allocate the radio
spectrum to the various radio services and to write the rules and
regulations to govern the operation of these services on the respective
frequencies that are assigned to them. This is basic ·1,0 all other radio
activities of the Commission and is designed to protect the public
interest by assuring an equitable distribution of frequency space
among the various radio services.
The primary obstacle to greater and greater use of radio
communication facilities is the relative unavailability of channels.
Technical developments have made it possible to use more frequencies
and to nse them more efficiently but, simultaneously, the number of
people desiring to employ radio has grown even more rapidly. The
result~thatthe demand forfrequenGi~sfar exceeds the supply. And
the demand is increasing faster than advances in the radio art can
enable additional radio needs to be accommodltted.
Radio developed in the lower part of the radio spectrum. As the
number of stations and possible uses increased, the available low
frequencies were either exhausted or were found to be unsuited for
particular purposes, and higher and higher frequencies were explored
and opened to USe. This has added to the engineering difficulties
in making frequency allocations and station assignments as well as
to the problems in connection with manufacturing suitable equipment.
Frequency allocation is a very complex subject. There is a dill'erence
between frequency "assignment" and frequency "allocation." The
former pertains to assigning a partjell1ar frequency for use by a
particular station, while "allocation" refers to the setting up of bands
of frequencies for the use of the various radio services.
21
22 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Frequency allocation, briefly, may be likened to building communi 
cation highways in the ether. In ordinary road building there is a
wide choice of routes. However, in frequency allocation most of the
usable lanes are already well filled and, unlike land traffic, radio
transmissions cannot be routed by underpasses and overpasses.~
Neither do they obey traffic signals to allow other traffic to pass, or
go just to the point where they are to be heard. They spread out to
thousands of other points as well, crossing political and geographical
boundary lines in all directions. .
The theoretically usable radio spectrum extends from 10 to 30
million kilocycles, but for practical pUl"poses the present ceiling for
commercial utilization is aroUhd 10 million kilocycles.
It is customary to speak of the allocation of spectFam·ilflace to ·the
various radio services as the allocation of "bands" of frequencies
to specified services, meaning the designation of groups of frequencies
in a particular region of the spectrum for the use of specified services.
The bands assigned to a particular service are broken down into
"channels" which are, in effect, the ether traffic lanes. Within these
channels, each station operates on a designated "frequency." Thus,
for example, in. the medium-wave region of the spectrum the
frequencies 550 to 1600 kilocycles are allocated as the standard
broadcasting band. This band is divided into 106 channels, each 10
kilocycles in width. Individual stations are assigned to frequencies
at the center of each channel, such as 550 kilocycles, 560 kilocycles, etc.
Not all channels are the same width. Some types of transmission
require wider paths than others. In broadcasting, for example,
though a standard (AM) station uses a channel 10 kilocycles wide,
an FM station needs one 20 times wider, while a television station
requires about 600 times the· spectrum space occupied by one AM
station. In the nonbroadcast field, too, channel widths differ according
t<J the requirements of the particular services.
By the same token, the nature of a service is an important factor
in determining its position in the radio spectrum. Each band has
inherent characteristics which must be taken into account in
determining the kind of stations permitted to use it. Thus, at the
lower part of the spectrum are radio aids to air and sea navigation.
Further up, in turn, are AM broadcasting, long-distance communica 
tion, FM and television broadcasting, developmental services, radar,
and experimental operation. Sandwiched in between are segments for
various government and miscellaneous nongovernment services.
In the early days of radio regulation a few kilocycles one way or
another was of little importance. Later, with the filling of the
spectrum, the problems of interference between stations became more
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 23
pronounced, and it became necessary to define more precisely channel
boundaries, engineering standards, etc.
So, in order to plan the use of a frequency intelligently the
Commission must take into account many intricate factors. Among
these may be mentioned the kinds of communication to be handled, the
distances involved, .the type of operation, the locations of the
transmitting and receiving points with respect to land mass and bodies
of water, the presence of other radio stations in the vicinity or operating
on the same frequency elsewhere, aud many other things. It must
know the behaviol' of the radio waves upon that frequency for various
hours of the day, seasons of the year, and phases of the sunspot cycle
and during atmospheric disturbances. There is still much to learn
about the propagation characteristics, particularly in higher portions
of the radio spectrum, now that radio must continue to move ':upstairs."
There is also much to learn concerning equipment capabilities,
particularly in higher portions of the spectrum, since this, too, is
essential information in laying a firm foundation for sound frequency
allocation.
The development of EM and TV broadcasting, the rapid growth
of land mobile communication, the inauguration of microwave links
for general radiocommunication relaying, the increasing use of elec 
tronic aids to air and sea navigation, and the expansion of government
radio services are some of the factors that have contributed towards
making the current problems of frequency allocations, particularly
in the "upper" radio spectrum, i. e., that portion above 30,000 kilo 
cycles, an exceedingly complicated matter.
As the spectrum becomes more congested, interference grows in
seriollsness. It can COlne not only from domestic stations but also
from the many thousands of foreign stations which can be heard in
this country. That is why mutual working arrangements between
nations to handle radio's expanded usage is imperative.
2. INTERNATIONAL CONFERENCES
Regulation of radio is necessary because transmissions know no
state or national boundaries and must be controlled among the users
to prevent interference and waste of frequencies. The international
aspect of radio has developed to such an extent that almost no major
frequency allocation can be met properly without considering inter 
national usage. Hence, (he primary allocation of frequencies is now
made by international treaty or other agreement.
The Atlantic City Telecommunications and Radio Conferences of
1917 produced a new international table of frequency allocations to
supersede that agreed upon inp~eviousinternational conferences.
859490-50-3
24 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The Atlantic City session also recognized that effective implementation
of the allocation table would require taking the allocations, band by
band, and dealing with them in terms of the specific frequency assign 
ments to individual stations that might be accommodated in those
bands. As a result, this conference did the spade work on an over-all
design of frequency use intended to take account of postwar develop 
ments and set up certain rules and regulations which if adhered to
by the participating nations would go far towards achieving maximum
use of the radio spectrum, with minimum interference, through co 
ordinated action.
The conference also provided for certain future conferences of a
more limited nature, both regional and world wide, to complete the
work started at Atlantic City by formulating detailed station as 
signment lists covering the various bands and services. Because of
the great demand for radio facilities, this job of providing for the
needs of the various countries within the allocated bands is particularly
difficult. However, not all of these international sessions deal with
radio. Some of them concern operations and practices of telegraph
and telephone common carriers engaged in international service.
Many conferences have already been held; others are in prospect. It
is the Commission's job to prepare for and participate in these ses 
sions, held under Department of State auspices, and to put the con 
ference decisions into effect as they pertain to radio services in the
United States and its possessions.
During the fiscal year the Commission helped arrange for or par 
ticipated in nearly a score of intcrnational couferences and other
sessions as compared with 15 the year previous. They included:
Provisional Frequency Board, Geneva, has been sitting since
January 1948 to draft a frequency list.
International Radio Consultative Committee (CCIR), Stock 
holm, July 1948.
European Maritime Regional Radio Conference, Copenhagen,
June-September 1948.
Planning Committee on High Frequency Broadcasting, Mex 
ico City, October 1948.
International Administrative Radio Conference On High Fre 
quency Broadcasting, Mexico City, October 1948-April 1949.
Committee on Revision of International Telegraph Regulations,
Geneva, January 1949.
Special Loran Conference, Geneva, January 1949.
International Telecommunications Union Region II and Fourth
Inter-American Radio Conference, 'Washington, April-July 1949.
CCIF Technical Study Groups, The Hague, April 1949.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 25
International Administrative Telegraph and Telephone Con 
ference (lTV), Paris, May-August 1949.
Technical Planning Group (preparing for 1950 Rome High
Frequency Broadcasting Conference) Paris, June 1949.
European Conference for Study of Bands 1605-2850, 3155-3400
and 2500-3900 kilocycles, Oslo, June 1949.
CCIF Meeting, Paris, July 1949.
International Civil Aviation Organization (ICAO); North
Atlantic Regional Air Navigation Meeting, Paris; North Pacific
Regional Air Navigation Meeting, Seattle; African-Indian Ocean
Regional Air Navigation Meeting, London; Communications Di 
vision Meeting, Montreal.
Region I and III Radio Conference, Geneva, close of fiscal
1949.
The Commission was also at work on 16 other scheduled confer 
ences, namely:
Second Session of International Administrative Aeronautical
Radio Conference, Geneva, Jnly 1949.
Conference on Revision of Bermuda Telecommunications
Agreement, London, August 1949.
Television Congress, Milan, September 1949.
Conference with Canada on Ship Safety Requirements for the
Great Lakes, Ottawa, November 1949.
Third North American Regional Broadcasting Agreement
(NARBA) Conference, Montreal, September 1949.
Special Administrative Radio Conference for Approval of New
International Frequency List, Geneva, October 1949.
International Civil Aviation Organization (ICAO), Search
and Rescue Division Conference, Montreal, November 1949.
Intergovernment Maritime Consultative Organi7.ation (iIMCO)
Meeting, London, 1950.
High Frequency Broadcasting Conference, Rome, spring of
1950.
International Civil Aviation Organization (ICAO): South
Pacific, Middle East, South Atlantic and South American Re 
gional Air Navigation Meetings, at places to be determined, 1950.
International Radio Consultative Committee (CCIR), Prague,
spring of 1951.
International Telegraph Consultative Committee (CCIT), The
Netherlands, 1951.
International Plenary Telecommunications Conference, Ad 
ministrative Telegraph and Telephone Conference, and Admin 
istrative Radio Conference of lTV, Buenos Aires, 1952.
26 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The importance of several of the conferences held during the past
fiscal year requires particular mention:
The International Telecommunications Union Region IIand Fourth
Inter-American Radio Conference at Washington considered revision
of agreements made at the Santiago and Rio de Janeiro Inter 
American Radio Conferences. It resulted in the adoption of a pro 
cedure for the submission of regional frequency assignment plans for
the nations of the Western hemisphere. The procedure adopted
covers assignments of bands to aeronautical, marine, broadcasting,
amateur and other services in that part of the radio spectrum from
10 to 4000 kilocycles.
The High Frequency Broadcasting Conference at Mexico City
drafted part of a list for use of high-frequency broadcasting stations
which was accepted by the conference (56 nations) but was not in 
dorsed by 14 nations including the United States and the U. S. S. R.
It is the basis of work now being done by the Technical Planning
Committee. The entire plan was expected to be ready for considera 
tion at another conference tentatively scheduled for Rome in the spring
of 1950.
The International Administrative Telephone and Telegraph Con 
ference in Paris, which extended over the close of the fiscal year, had
for its purpose revising the existing Cairo regulations of 1938, which
apply to international operation and rates in these two fields. The
United States has heretofore not been a party to either the telephone
or telegraph regulations.
The Provisional Frequency Board (PFB) continued its efforts,
begun in January 1948, to construct a frequency assignment plan for
the spectrum between approximately 4 to 27.5 megacycles (a mega 
cycle is 1000 kilocycles). This project has required the maintenance
of a delegation to the PFB as well as a special government and indus 
try group in Washington for liaison purposes. The PFB was ex 
pected to make a special report to the Administrative Council of the
International Telecommunications Union (ITU) in the fall of 1U'19.
3. DOMESTIC FREQUENCY CHANGES
During the fiscal year a dozen separate and distinct steps relative to
domestic frequency allocations were taken by the Commission. These
are discussed under reference to particular services elsewhere in this
report, but a summary here may be helpful.
The frequency band 960-2100 megacycles was reallocated to the
various government and nongovernment services in order to provide
space in the vicinity of 1000 megacycles for the development of an
integrated system of electronic aids to air navigation and traffic con-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 27
trol. This required certain adjustments in the band 1000-13200
megacycles with respect to allocations to other services.
The 9800-9900 megacycle band was allocated to the nongovernment
services.
Of importance to the expanding mobile radio services was the ont 
come of proceedings with respect to allocations of the bands 25-30,
44-50, 72-76, 152-162, and 450-460 megacycles. The Commission also
suballocated frequencies to the various mobile users such as police,
industrial, railroads, taxicabs, and others.
The band 1750-1800 kilocycles was allocated to the fixed and mobile
services, to become available when a coordinated emergency commu 
nication system can be worked out. Meanwhile, this band was made
usable temporarily to assist in locating oil deposits in the Gulf of
Mexico pending consideration of the advisability of establishing a
radiolocation service on a permanent basis.
Because of serious interference between ship stations on the Great
Lakes and ship stations on other inland and coastal waters on the
common intership frequency 2738 kilocycles, the Commission proposed
the use of 2203 kilocycles for intership use in the Great Lakes area.
Radio amateurs were allocated the band 220-225 megacycles on a
permanent basis in lieu of their former allocation of 235-240 mega 
cycles. The 1800-2000 kilocycle band was restored to the amateurs,
subject to protecting the use of loran in the radionavigation service.
4. INTERDEPARTMENT RADIO ADVISORY COMMITTEE
The Commission does not license United States Government radio
stations or assign their frequencies. Such frequency assignments are
made by the President upon recommendation of the Interdepartment
Radio Advisory Committee (IRAC), composed of Federal agencies
which use radio. The Commission furnishes the secretariat of the
!RAC.
During the fiscal year the IRAC approved 5,140 new and deleted
848 regular assignments, bringing the total number of outstanding
regular assignments to 56,451. In addition, it apPI'Oved 262 changes
in assignments, 2,323 temporary assignments, and 555 deletions of
temporary assignments.
5. TREATY AND INTERFERENCE CASES
Between 500 and 600 cases of treaty infractions, as observed by the
Commission's monitoring stations, are processed each month. They
involve foreign and our own Government stations. Most of these
infractions are caused by spurious emissions, harmonic radiations,oft'~
frequency operation, and other faulty techniques. Notice is served,
28 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
through channels, on the roreign and domestic administrations respon 
sible.
The above figures do not include more than 300 international inter 
rerence cases which were handled during the year.
6. ALLOCATION AND TREATY RULES
The Commission adopted a new Part 2, Rules Governing Frequency
Allocations and Radio Treaty Matters, in its General Rules and Regu 
lations. It defines the varions radio services and lists their frequency
assignments in conrormity with the Atlantic City agreements, and
also lists international treaties and other agreements in rorce with
respect to radio operation. Rererence to those international treaties
and agreements will be round in the appendix to this report.
1. FREQUENCY AND STATION RECORDS
For the purpose or notirying the Bnreau or International Telecom 
munication Union, Geneva, for registration and publication in fre 
quency and station lists issued by that bureau, the Commission main 
tained a file or 30,900 rrequency cards (22,300 Government and 8,700
non-Government), and 22,000 station cards. Notification ror the list
or coast stations was resumed ror the first time since the war. Notifi 
cation or Government ships, and stations in the aeronautical and
special services has not yet been resumed.
CHAPTER III. RADIO BROADCAST SERVICES
1. GENERAL
2. STANDARD (AM) BROADCAST SERVICE
3. FREQUENCY MODULATION (FM) BROADCAST SERVICE
4. TELEVISION (TV) BROADCAST SERVICE
5. NONCOMMERCIAL EDUCATIONAL BROADCAST SERVICE
6. FACSIMILE BROADCAST SERVICE
7. INTERNATIONAL BROADCAST SERVICE
8. RIlMOTE PICK-UP BROADCAST SERVICE
9. ST (STUDIO-TRANSMITTER) BROADCAST SERVICE
10. DEVELOPMENTAL BROADCAST SERVICE
II. STATISTICS
1. GENERAL
BROADCAST REGULATION
One of the major activities of the Commission is the general regu 
lation of radio broadcasting-now visual as well as aural. This regu 
lation is largely technical in nature. It involves determining the
frequencies to be allocated to different broadcast services; establish 
ing engineering standards and other rules governing transmission;
authorizing individual stations to operate on specific frequencies with
prescribed power; and exercising licensing functions in passing on
applications for construction permits, renewals and modification of
licenses, and applications for transfer and assignment of licenses.
Broadcast matters are a major consideration in international confer 
ences and agreements; also in litigation and administration.
TYPES OF BROADCAST STATIONS
As of June 30, 1949, there were more than 4,000 broadcast authori 
zations in 10 categories. The 3 principal commercial broadcast serv 
ices are the older standard or AM (amplitude modulation) ; FM (fre 
quency modulation), a comparatively new type of high-fidelity and
static-free broadcasting; and TV (television), which is also known
as video. In addition, there are facsimile, international, and non 
commercial educational broadcast services; remote pick-up and studio
links; and experimental and developmental broadcast stations.
29
30 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
GROWTH01<~BROADCASTING
Broadcast authorizations saw a net gain of 118 for the year. Stand 
ard (AM) authorizations increased by 145, to a total of 2,179. The
only broadcast service to show a decrease was FM, whose 865 authori 
zations were 155 less than at the close of fiscal 1948. Eight new TV
broadcast stations were authorized before the "freeze." Experimen 
tal TV authorizations, not affected, increased from 124 to 205. Non 
commercial educational authorizations rose to 58, or 12 more than last
year. International broadcast stations remained at the same figare,
37.
Outstanding AM, FM, and TV authorizations, collectively, totaled
3,161, which was two less than the aggregate for the previous year.
The number of licensed stations rose to 2,353, which was one-fourth
more than there were in 1948 and more than double the,number in
1946. The growth of AM, FM, and TV broadcast scrvices in the past
seven fiscal yeaI's is shown in the following table:
AM FM TV
I
Total
Fiscal year
Author!-
Licenses
Authori-
Licenses
Authori-
Licenses
Autrtori-! Licenses
zatiOtl3 zatioDS zatiODS zatlons
---
------ ------
1943. _. ______________
912 on 48 37 6 6 966 9"
1944 __ • _. __ •••___ • ___
9,. 912 62 45 9 6
'"
963
~~::============:== '"
931 53 46 25 6 1,633 083
1,215 961 456 48 30 6 1,101 1,015
1947. _••_._.~_••_____
1,795 1,298 918 48 66 6 2,779 1,352
1948•••______ •• _._.__
2,034
J, ""
l,020 142 109 7 J,I63
1,842
1949••."._.__________
2,'179 1,963 865 377 Il7 13 3,161 2,353
BROADCAST APPLICATIONS
Section 308 (a) of the Communications Act pl'Ovides that "the Com 
mission may gI'ant licenses, I'enewals of licenses, and modifications of
licenses only upon written application therefor I'eceived by it." Con 
sequently, a large portion of its broadcast work involves the processing
of applications by existing and prospective broadcasters. A brief
description of the chief types of applications follows:
Oonstruotion permit.-A person seeking a new station (be it AM,
FM, or TV) must first file an application for a "construction permit,"
If, as frequently happens, the grant is made subject to certain en 
gineering or other conditions, he must next file an application for
"modification of construction permit" to meet these conditions. If
this application is approved, he may then proceed to construct the
station. A permittee normally has 8 months in which to complete
construction. After operating tests, he applies for the actual
"license."
Ohange in /acility.-If a peI'mittee desires to change locality, in 
crease power, shift to another frequency, etc., he applies for "modifi-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 31
cation" of his construction permit. A licensee wishing to change
facilities may sometimes file for a modification of license but more
often he has to ask for a new construction permit.
Henewal.-Under the Communications Act, broadcast licenses may
not be granted for a longer period than three years. At present, both
AM and FM licenses are issued for the maximum statutory period,
whereas TV stations (because of their relative newness) are licensed
for one year. Section 307 (d) of the act requires the Commission, in
considering renewal applications, to be "governed by the same con 
siderations and practice which affect the granting of the original
applications."
Tramfer of control.-Another common type of broadcast applica 
tion is for "assignment" of construction permit or license, or "transfer
of control." This arises from section 310 (b) of the act which pro 
hibits such shifts without prior consent of the Commission. In June
1949 the Commission adopted a convenient short form for certain
transfer and assignment applications that are pro forma in nature.
All applications are processed through the Bureaus of the Secretary,
Engineering, Accounting, and Law. The last three named bureaus,
after detailed study of qualifications of the parties and other pertinent
problems, make their respective recommendations to the Commission.
The system of processing is such that applications are considered by
different categories in the order in which filed.
The Bureau of the Secretary receives all applications initially, ex 
amines them for completeness, returns them to the applicants if in 
complete, records their filing, distributes them for study by the other
bureaus, handles the administrative matters incident to conducting
hearings, issues official authorizations, and maintains the official files.
The Bureau of Engineering makes a technical study of the quality
of signal to be expected and the effect the proposed station or change in
an existing station would have on existing stations and on applications
on file.
The Bureau of Accounting studies the financial ability of the appli 
cant to take over, construct, change or continue operating a station in
the public interest.
The Bureau of Law considers the applicable provisions of the act
and the Commission's rules and regulations with respect to applica 
tions, advises whether the application may be gTanted without hearing,
and, where hearings are recommended, prepares the issues, recom 
mends disposition of pleadings, and participates in the hearing to
insure production of evidence on the matters which the Commission
must decide.
A total of 6,268 broadcast applications of all kinds were received
during the year, which was a decrease of 1,442 from fiscal 1948, The
32 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
year closed with 2,156 applications pending as compared with 2,555
at the start of the year. Pending applications for new stations num 
bered 932 on June 30,1949, as against 1,170 the year previous. Appli 
cations for assignments and transfers of licenses and permits rose to
503, or 78 more than in fiscal 1948.
More than 40 percent of all broadcast applications involved AM.
FM applications amounted to 1,996 and TV applications to 444. The
year closed with 382 pending applications for new AM stations as
compared with 338 for TV and 65 for FM.
A breakdown of broadcast applications will be found at the con 
clusion of this chapter.
PROCEDURAL CHANGES
During the year the Commission on various occasions, through £01' 
Jual proceedings and otherwise, made changes in its organization,
streamlined its procedures, rednced the information required by it to
act upon applications, and dispensed with or modified certain for111s.
It delegated functions to its staff to accelerate the work and revised
its rules and engineering standards accordingly.
BROADCAST HEARINGS
Broadcast cases still constitnte the major portion of the Commis 
sion's hearing workload, with AM: accounting for more than half of
the hearing docket. The following docket statistics for the year in 
clude all types of broadcast cases:
Pending
July 1,
1918
Desig 
nated for
hearing
Disposed OflDisposed of
without following
hearing hearing
Pending
June 30,
1949
369
34
191
5
&99
119
12
2
o
163
"13
25
29
3
290
ZiS
18
34
4
334
473
53
188
4
718 I
AM. _
Fl\I. . .._._
TV~. __ . _
Other • _
[-----=-i---;:~[-___;::::+-=[--~Total~~__
BROADCAST PROGRAMS
Under the provisions of the Communications Act it is the responsi 
bility of each broadcast station licensee to arrange his program struc 
ture so that his operations will be in the public interest. Pursuant
to duties imposed by the act, the Commission periodically reviews the
over-all performance of stations, usually when they apply for renewal
of licenses, to determine whether they have lived up to their obliga 
tions, and the promises they made in applying for facilities.
This statutory duty does not, however, vest in the Commission any
authority to direct a station to put a particular program on or off the
air. Section 326 of the act expressly prohibits the Commission from
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 33
censoring programs. Moreover, section 3 (h) of the act provides
that a broadcaster as such is not a common carrier; consequently broad 
cast stations are not required to sell or to give time to all who seek
to go on the air.
EDITORIALIZING BY BROADCAST LICENSEES
The Commission has consistently held that broadcast station licen 
sees should strive for fairness in airing controversial public issues.
On June 2, 1949, the Commission issued its final report in the matter
of editorializing by broadcast licensees (Docket 8516) which was the
subject of extensive public hearings in March and April of 1948. Its
conclusions are here summarized:
To recapitUlate, the Commission believes that under the American s;ystem
of broal1cllsting the individual licensees of radio stations have the responsibility
for determining the specific program material to be broadcast over their stations.
'l'hi'l choice, ho\vever, must be exercised in a manner consistent with the basic
policy of the Congress that radio be maintained as n medium of free speech for
the general public as a whole rather than as an outlet for the purely personal or
private interests of the licensee. This requires that licensees devote areason~
able llercelltage of their IJroadcastillg time to the discussion of public issues of
interest in the community sernd by their stations and that such programs
be designed so that the public has area~lOnahleopportunity to hear ditrerent
opposing pof'itiom; on the public issues of interest and importance in the com 
munity. The pnrticular format best suited for the presentation of such pro- 
grams in a manner consistent with the public interest must be determined by
the licensee in the light of the facts of each individual situation. Such pres 
entation may include the identified expression of the licensee's personal view 
point as part of the more general presentation of views or comments on the
various issues, but the opportunity of licensees to present such views as they
may haye on matters of controversy may not be utilized to achieve a partisan
or one-sided presentation of issues. Licensee editorialization is but one aspect
of freedom of expression by means of radio. Only insofar as it is exercised in
conformity with the paramount right of the public to hear a reasonably bal 
anced presentation of all responsible viewpoints on particular issues can such
editorialization be considered to be consistent with the licensee's duty to opel'·
ate in the public interest. For the licensee is a trustee impressed with the duty
of preserving for the public generally radio as a medium of free expression and
~airpresentation.
PROGRAMS INVOLVING LOTTERIES OR GIFT ENTERPRISES
Effective September 1, 1948, section 316 of the Communications Act,
prohibiting the broadcast of any advertisement of, or information
concerning, any lottery, gift enterprise or similar scheme, ,vas recodi 
fied without substantial change, as part of a general recodification of
the criminal law as section 1304 of the Criminal Code (18 U. S. C.
sec. 1.304) and section 316 of the Communications Act was repealed.
Previously, on August 8, 1948, the Commission had issued a notice of
proposed rule making (Docket 9113), looking toward the adoption of
34 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
new rules applicable to AM, PM, and TV broadcasting, spelling out
the elements of programs which would, on the basis of the Commis 
sion's understanding of the existing law applicable, involve violation
of the Congressional prohibition against lotteries, gift enterprises,
and similar schemes. On August 27, 1048, the Commission issued a
supplemental notice of proposed rule making, calling attention to the
recodification of the prohibition on the broadcast of such information,
and reiterating its intention of promulgating rules for informing
licensees and other interested persons of the Commission's interpreta 
tion of the law in this matter, which would be followed in the exercise
of the Commission's licensing functions. Oral argument was held
the following October and decision was pending at the close of the
year.
OBSCENITY ON THE AIR
A provision formerly in the Communications Act as section 326
was recodified in the United States Criminal Code as section 1464,
effective September 1, 1948. It states: "'Whoever utters any obscene,
indecent, or profane language by means of radio communication shall
be fined not more than $10,000 or imprisoned not more than 2 years,
or both." This prohibition is reflected in the Commission's rules ap 
plicable to broadcasting and other forms of radio communication, also
operator performance.
A veo RULE REPEALED
On February 21, 1949, the Commission (in Docket 9061) proposed
repeal of the so-called "AVCO" procedure, adopted in 1945, which
required advertising for competitive bids in connection with the sale
of broadcast stations. At the same time, the Commission proposed
extensive changes in its handling of broadcast applications which,
among other things, would have required applicants for new AM, FM,
and TV stations, or changes in existing stations, as well as applicants
for renewals, to publicly advertise such intent, On June 9, 1949, the
Commission abolished the AVCO rule, effective as of that date. Oral
argument on the other proposals, heard June 27, however, resulted in
this proceeding being vacated as of July 15, 1949.
SPOT ADVERTISING
Tie-in agreements between broadcast networds and their affiliates
for the sale of national spot advertising and other commercial time
were the subject of a hearing before the Commission during the past
winter, pursuant to order of July 21,1948 (Docket 9080), Decision
on whether such arrangements violate the chain broadcasting regula 
tions or are otherwise contrary to the public interest was pending at
the close of the fiscal year.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 35
MAIN STUDIOS
Under the Commission's present rules and regulations, it is possible
for a broadcast station to originate most of its local programs from a
place other than the city in which its main studio is located. Accord 
ingly, the Commission on February 24, 1948 (in Docket 8747), pro 
posed to recognize AM and FM stations as being located in the city and
State where the "main studio" is shown on the license, and to require
a majority of a station's nonnetwork programs to originate locally.
Hearing was held in October 1948, and decision was pending.
RADIO TIME RESERVATION IN STATION BALES
Special rules relating to contracts which seek to reserve radio time
upon the sale of an AM, FM, or TV station were announced by the
Commission on January 7, 1949. They are the result of proposals
made February 6, 1948, in Docket 8774.
MULTIPLE OWNERSHIP
The Commission, on August 19, 1948, proposed changes in the multi.
pIe ownership rules affecting commercial broadcast stations which
would limit ownership, operation, or control by the same interests to
not more than seven AM stations in the country as a whole, and over 
lapping interests or connections to not more than 14 AM, 12 FM, and
10 TV stations (Docket 8967). Oral argument was held in January
1949 and decision was pending.
The proposals would augment existing rules which preclude the
same interest or group from operating more than one station in either
category in the same service area, or more than six FM stations or five
TV stations throughout the country.
NETWORKS
Stations owned by or affiliated with networks are subject to the chain
broadcasting regulations promulgated by the Commission in 1940
and now contained in part 3 of its rules.
At the close of the year, there were 4 major networks-American
Broadcasting Co., Columbia Broadcasting System, Mutual Broadcast 
ing System, and National Broadcasting Co.-more than a score of re 
gional webs, also various FM and TV affiliations. A breakdown of
the 1,152 stations linked with the 4 national networks follows:
'72
.'"
'20
.66
t,13S
Affiliated
stations.
,
6
'.
6
16
Network owned
stations
Network
ABC_.._._._~._. • • _
CBS <_. . . _
MBS. •~_.. _
NBO • •__ • •••_~• __ • _
1----::+---=-=TotaL~.~.~•• _
I Althoug'! MBS does not Itoolf operate any broRdCftst station, itsstock is held byseven oorporatlonswhiclt
are station licensees.
36 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
RECEIVING SETS
The total number of radio receiving sets was estimated to be ap 
proaching 79 million. Ninety-five percent of the families in this coun 
try (about 40 million) are said to possess one or more receivers.
Production of home receivers declined 27 percent between 19±7 and
1948 and Was expected to show a further drop in 1949 of 40 percent.
This drop has been mainly confined to the AM only sets. Both TV
and FM set production gained in 1948 as these services expanded.
During 1949, production of TV sets was further stepped up while the
output of FM receivers (including AM-FM) decreased. During the
first half of 1949, home receiver production was reported at 3,244,024
sets. Of this total, 913,071, or 28.1 percent, were TV sets, and 424,381,
or 13.1 percent, were FM. Production of AM only receivers ac 
counted for 58.8 percent of the total; as contrasted with 90.8 percent
in 1947. Many of the new TV sets, however, contain FlII or A;>I
bands, or both.
The Commission does not license receiving sets or regulate their
production.
2. STANDARD (AM) BROADCAST SERVICE
The number of standard (AM) broadcast stations holding authori 
zations from the Commission increased to 2,179 by the end of the fiscal
year as compared with 2,034 at the close of the fiscal year U148.
Fewer applications for new AM authorizations were filed in fiscal
1949 than in fiscal 1948 and at the close of 1949 there were 382 such
applications pending as compared with 575 at the end of the previous
year. The decrease in the number of AM applications filed during
fiscal 1949 and the number of authorizations granted is due in large
part to a crowded spectrum and, in a lesser degree, to economic read 
justment in the broadcasting field. Nevertheless, the number of sta 
tions holding AM broadcast authorizations continued to be the largest
of any category of the broadcast services.
The Commission is continuing its policy of handling AM applica 
tions in two processing lines, the first dealing with those which im'olve
relatively simple technical problems, such as requests for local (class
IV) stations, or fOl' daytime facilities, and the second dealing with
those involving complex engineering problems, such as requests for
~unlimitedtime facilities on clear or regional channels, most of which
involve directional antennas. The Commission has a smallel' stnff
than was previously available to work on thesecas(~s.Howeyer, the
Commission is undertaking to provide field offices with facilities and
needed information so that they may aid in the processing of such
cases and thus reduce the time within which final disposition may
be had.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 37
On April 13, 1949, the Commission (in Docket 9287) proposed to
refrain from authorizing further share-time or specified hours AM
stations, but on June 2+ vacated this proceeding. As of January 1,
1949, there were 35 and 16 stations respectively in these categories.
The proposal did not involve regular daytime operation stations,
which now exceed 500.
As a convenience to .AM stations which initiate live programs for
foreign broadcast or ll'luke transcriptions £01' such purpose, the COIU 
mission on May 19, 1949 (Docket !(320) proposed to eliminate formal
applications in this connection. The proceeding was pending.
In view of the receipt of the first applications for regular broadcast
facilities in the station-less Virgin Islands, the Commission on June
22,1949, vacated its proposal of March 2:3, 1949 (Docket 9261) to relax
certain requirements in order to bring broadcasting to those islands.
CLEAR CHANNELS
The Commission had under renewed consideration the testimony
and exhibits presented at the clear channel hearing (Docket 6741)
which was held throughout 1946 and UJ47, since the Committee on
Interstate and Foreign Commerce of the United States Senate \vith 
drew its request that the Commission withhold its decision while the
committee had under consideration the Johnson bill (S. 2231) pro 
viding for limitation of power for 50 kilowatt and duplicate operation
on clear channels. Subsequent to the adjournment of the clear chan 
nel hearing on October :31, 1947, the matter was consolidated with
Docket 8333 which deals with the related problem of daytime skywave
transmissiOlI.
The clear channel hearing involves issues of importance both to
the American listening public and to the broadcasters. The contro 
versy resolves itself into whether it would be better to share existing
nighttime facilities on clear channels with applicants throughout the
United States proposing to serve areas where little or no satisfactory
service presently exists, or to allow only the present licensees on each
clear channel to have super power in order to better their coverage.
The solution of the problem depends upon which plan would tend
toward betterment of service or duplication of service, particularly
as it concerns rural listeners. Also presented are questions such as
the economic and competitive effects upon other broadcasters if a few
should be allowed super power, and whether this would be conducive
to the proper distribution of broadcasting service and the larger and
more effective use of radio as contemplated by the Communications
Act.
The allocation anel use throughout North American countries of
these channels (traditionally enjoying more power than others al-
38 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
lotted for regional or local use) will be among the chief subjects for
deliberation by the forthcomiug North American Regional Broad 
casting Agreement Conference. The Commission has, accordingly,
sought to coordinate its efforts in these matters.. Fnrther reference to
clear channels appears in the Commission's 1948 Annual Report.
540 KILOCYCLES
Under the terms of the Fourth Inter-American Radio Agreement,
which was negotiated in the latter part of the fiscal year, the addition
of 540 kilocycles to the AM broadcast band cannot be made effective
until after the reallocation of stations on freqnencies immediately be 
low the present band. For that reason the Commission is not yet in
a position to promulgate rules for the assignment of any particular
class of stations to this frequency. There appears to be no question
that 540 kilocycles is to be used for broadcasting as soon as the re 
arrangement of the services on the adjacent bands can be effected.
This matter will be given consideration by the forthcoming Third
North American Regional Broadcasting Conference.
The Department of State's protest of the Mexican operation on this
channel, as reported in the 1948 Annual Report, was not resolved dur 
ing the year.
NORTH AMERICAN REGIONAL BROADCASTING AGREEMENTS
The Commission's services in the international field as concern
broadcasting are related chiefly to its activities in connection with
the North American Regional Broadcasting Conferences and the work
of their committees. The first of these conferences formulated an
agreement (NARBA) for the purpose of establishing principles and
regulations governing the allocation and use of broadcast channels
throughout the various North American signatory countries. This
agreement expired in March 1946 but was extended in that year to
March 28, 1949, with certain modifications.
The second conference (1946) also established a Technical En 
gineering Committee (NARBEC) which had for its chief purpose
the determining of facts and making of recommendations to enable
the signatory governments to comply with the technical provisions of
the NARBA and to aid in the establishment of better broadcast re 
ception throughout the countries involved. This committee, whose
activities are continuous, has so far resolved at least three international
disputes which involved station operations and has handled surveys
and projects which have provided data useful in connection with
settlement of interference questions between the countries concerned.
Signatories to the conference have, with the exception of Cuba,
agreed to extend the present agreement until a new agreement could
be formulated and made effective. For this purpose, the third
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 39
NARBA conference is scheduled to be held in Montreal, starting
September 13, 1949.
Preparatory to this conference the Commission, in collaboration
with the Department of State, organized a Government-Industry
NARBA Preparatory Committee for the purpose of considering
United States proposals for the new agreement. The work of the
committee has included studies of standards, broadcasting coverage,
improvement of broadcast reception on a region-wide basis, as well
as legal and administrative problems. The representation and ac 
tivity of industry on the committee were extensive. Particularly
noteworthy were the tests of highly directional antennas and the com 
parison of their theoretical with actual effects. Such tests involved
operation of some 30 stations after midnight in conjunction with that
of about 15 field intensity recording installations scattered throughout
the United States. Other committees engaged in various other proj 
ects, including the determination of coverage of existing broadcast
stations of Canada, Cuba, Mexico, and the United States..
The proposals for the new conference were submitted at the close of
the year when they were given distribution to all NARBA signatories.
The preparatory committee will continue its efforts and will advise
the United States delegation to the 1949 session.
3. FREQUENCY MODULATION (FM) BROADCAST SERVICE
PM SERVICE NOW AVAILABLE OVER LARGE AREA
During the year the number of FM stations on the air increased by
150, bringing the total on June 30, 1949, to 737, of which 377 held
licenses. FM service is now available over almost all of the Eastern
half of the United States, over most of the "Vest Coast area, and in a
number of cities and adjacent rural areas in the West. It has been
estimated that more than 100 million people live within range of one
or more FM stations. While the construction planned by many FM
broadcast stations was completed during the year, many of them de 
cided not to install high powered equipment because of economic prob 
lems; in addition many found that the coverage provided by their
lower powered installations exceeded expectations and was adequate
for their areas.
FEW lfEW FM APPLICATIONS
Although FMservice was expanded by previously authorized stations
commencing operation and by existing stations improving their fa 
cilities, the rate of filing of new FM applications fell off sharply dur 
ing the year. Many FM modification applications were received,
but only 43 applications for new FM stations were filed during the
twelve-month period.
8l5949G--50-4
40 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Also, the total number of FM stations authorized decreased from
1,020 to 865. This rednelion was largely due to economic problems
a.nd uncertainties; the relatively small number ofF~Ireceivers owned
by the public and the resulting limited audience to attract substantial
broadcast advertising revenue; competition from standard AM broad 
cast and TV stations (as well as other FM stations); and high costs
of station construction. In a number of instances permittees were
dilatory in constructing their authorized stations and forfeited their
FM permits for failing to comply with the Commission's requirement
that they either complete construction or commence operation with
interim equipment. Some FM permittees withdrew from the field
because of their active desire to engage in television broa.dcusting. Al 
though most FM stations are at present operating at a deficit, only a
few stations ceased operation during the year. Approximately 80
percent of F:nf stations are operated in conjunction with standard
broadcast stations and operating expenses are thus minimized.
FM RECEIVERS
At the end of the fiscal year, approximately 3,500,000 FM receivers
were in lise. Although recent F.M receiver production was less than
expected, the appearance of AM-FxI receivers in practically all price
ranges indicates that the FJ\1 audiellce will grow Jll the future. Placed
on the market during the past year were several makes of sillall in 
expensive receivers providing F1\I reception only. Further, a large
percentage of television receivers now being offered for sale are com 
bination television-FThI sets. Since the Fl\I and television services
operate in the same gener'al frequency range, it is thus possible to pro 
vide FTh-I broadcast reception in television receivers at very little in 
crease in cost.
SERVICES PROVIDED BY FM STATIONS
Under the Commission's rules, Fl\f stations operated in conjunction
withA~Istations may employ duplicate or separate. programming of
the two stations or a combination of the two. In most cases fully
duplicated programming is chosen. Accordingly, established stand 
ard broadcast programs are available over the superior FM system,
as well as the programs broadcast only by FM stations.
Due to the noise-free characteristics of FM reception, many FM
stations rebroadcast the programs of others and thereby form regional
networks without the use of wire facilities. Also, a number of AM
stations pick up programs from FM stations for rebroadcasting. In
one instance, an FM station serves many All-I stations within a radius
of approximately 150 miles.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 41
4. TELEVISION (TV) BROADCAST SERVICE
INCREASE IN TV APPLICATIONS AND SERVICE
'Vith the greater availability of television receivers, transmitting
equipment, and the increased public interest and acceptance, there was
a steady increase in the number of applications for new television
broadcast stations. However, the number of authorizations granted
was temporarily curtailed due to the adoption of the current so-called
"freeze" policy, explained hereafter.
At the end of the year 13 television stations were licensed, 104 con 
struction permits were outstanding, and 338 applications were pending.
In addition to those licensed, 58 stations were operating on a com 
mercial basis under special temporary authorizations.
Thanks to relay facilities, television is no longer limited by the
horizon. Despite only 12 channels (between 54 and 216 megacycles)
being available throughout the Kation for commercial TV use, the
year's close saw 71 stations bringing television broadcast service to
42 cities and metropolitan districts, as compared with 17 cities served
by 30 stations the previous year. The demand for new stations re 
mained greater than the available facilities so that 237 of the pending
applications were in comparative hearing at the end of the year.
Television receiver production continued to mount with a trend
toward reduced prices. It was e,timated that approximately
1,750,000 receivers were in the hands of the public in the broadcasting
areas. The 10-inch-tube model continued to be the most popular. The
16-inch-tube direct view reeeiver made its debut.
EXPERIMENTAL TV SERVICE
At the end of the fiscal year there yere 175 experimental television
stations licensed and 30 outstanding construction permits. Included
in these figures \Yere 136 relay stations operating in the microwave
region and used primarily as television pick-up, television studio-to 
transmitter link, and interim television intercity relay stations. Rules
,,'ere in preparation to cover these television auxiliary services on a
regular basis.
Televisioll research aIHl experimentation continued with special
interest displayed in the 475-800 megacycle band which is allocated to
experimental television. About 30 authorizations ,vere outstanding
in this band. Emphasis was placed on studies of propagation, devel 
opments in circuits and tubes for use in the UHF (nltra high fre 
quency), color tr:1 nSlIlissioll, phollcvision, stratovision, comparisons
with transmission conditions in the present VIIF (very high !re 
quew.:y) or low-band television channels, and television relaying.
42 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Several applicants proposed to use simple pulse-type transmitters
for the sole purpose of exploring the coverage possibilities of UHF
television signals in a particular area or city.
OTlIER TELEVISION DEVELOPMENTS
The principal development in the expansion of TV network facili 
ties was the linking of the eastern and midwestern coaxial cable sys 
tems, bringing 14 metropolitan areas into the coaxial cable and
microwave relay chain. Additional cities on the main rout<\s and on
proposed branches of these routes were added to the system, so that
simultaneous networking 0:1 programs could make possible the viewing
of a program by about one-third of the population of the country.
(See also coaxial cable and microwave relay in the chapter on common
carriers.)
The constant improvement in camera techniques, kinescope record 
ings, studio lighting and pick-up facilities resulted in improved pic 
ture quality. Some novel telecasting included television transmis 
sions from it plane in motion and the splitting of the SCreen image
into two parts with two people at different locations being televised
simultaneously. Two motion-picture companies continued their ex 
periments in the microwave relaying of events of interest to theater
audiences.
TV CHANNEL ALLOCATIONS
Since part 3 of the Commission's rules presently provides only 140
metropolitan districts with television broadcast channel allocations,
it was necessary to propose changes in the allocation plan to provide
service to the smaller cities throughout the country and to as much
of the rural areas as possible. A hearing for this purpose was held
commencing June 29, 1948. More than 80 appearances were filed and
over 130 exhibits were introduced into the record. The Commission
proposed an allocation table that was an expansion of the existing
one and included cities with a population as low as 5,000 wherever
geographically possible. Although most of the witnesses requested
additional allocations for various cities, a few introduced evidence
with respect to tropospheric interference and contended that the pro 
posed allocation plan would result in intolerable interference between
stations. At about that time, the Commission had completed a study
based on measurements made over a period of a number of years which
also pointed to the need for greater station separation than had been
provided for in the proposed plan.
On September 13 and 14, 1948, a joint Commission-Industry Con 
ference was held to discuss procedural problems in the light of the
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 43
latest engineering information which had been introduced in the
previous hearing. The result of this conference was reflected in the
so-called "freeze" order of September 30, 1948, which called a halt in
the processing of applications for new television stations pending the
adoption of new rules and standards based on the latest available
engineering information with respect to coverage and interference.
During the week of November 30, 1948, an engineering conference was
held to discuss the techuical reports concerning propagation charac 
teristics in the VHF band which had been made available to the public,
and to gather any further information from the expert witnesses
present in order to provide for the best possible televisiou service to
the country. The final act of the conference was to appoint an Ad
Hoc Committee composed of members of the Bureau of Standards,
consulting engineering firms, and the COlnmission's Engineering
Bureau to make a study of propagation problems left unsolved at the
engineering conference and to submit a report thereon. The Ad Hoc
report was signed by all its members (with reservations on the part of
several, which did not affect its conclusions), and was presented to the
Commission on May 27, 1949. (For detailed information as to the
contents of this report see the section dealing with Technical Infor 
mation.)
In a public notice dated May 26, 1949, the Commission presented to
the industry and the public a status report on the "freeze" and a work 
ing schedule for lifting the "freeze" and adopting new rules and stand 
ards for the television broadcast service.
ULTRA HIGB FREQUENCY TV
The Commission several times in the past indicated that the 12 "low
band" television channels did not constitute a sufficient allocation of
spectrum space to provide for a nation-wide competitive system of TV
broadcasting. In allocating the 475-890 megacycle band to experi 
mental television, the Commission further pointed out that any future
expansion would have to take place in that portion of the radio fre 
quency spectrum. The great demand for television assignments,
coupled with the fact that the evidence 011 hand pointed to the need for
greater spacing between stations, thus resulting in fewer possible
assignments, further emphasized the need for more space for this
service.
On September 20, 1948, a hearing was begun to determine the utility
of the band 475--890 megacycles for television broadcasting. The pur 
pose of this hearing was to obtain information on the state of develop 
ment of transmitting and receiving equipment capable of operating
in this band in color as well as monochrome; to obtain information on
44 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
any proposals for the utilization of the band and standards to be pro 
posed; to receive any additional information as to the propagational
characteristics of the band; and to obtain information concerning
interference to television stations on channels 2 through 13.
Most of the witnesses urged that additional channels be allocated for
monochrome television using the same standards as are presently used.
Several witnesses recommended that a portion of the UHF band be
reserved for experimental work in color, high definition black and
white, and "stratovision." Subsequent to the adjournment of the
hearing, a consulting engineering firm filed a petition to provide for
a type of telecasting in the UHF band, called "polycasting," which
envisions the use of a large number of low-powered stations to cover
a gIven area.
5. NONCOMMERCIAL EDUCATIONAL BROADCAST SERVICE
Stations in this service are used principally by universities and
school systems for transmitting educational and entertainment pro 
grams to schools and to the public. Their operation is entirely on a
noncommercial basis. Since the 20 channels allocated for this service
are contained within the regnlar FNl band (88 to 108 megacycles),
regularF~Ireeeiverscan be used by the schools.F~freceivers used
by the public, of conrse, also can pick up the school programs.
Interest in the NOnCOll1lnercial Educational Broadcast Service has
been increasing gradually, and 58 stations were authorized at the end
of the fiscal year as compared with 46 in llJ48.
Nearly all of the new activity in this service centers around the low
power (10 watt), low cost equipment permitted under rules adopted
by the Commission in September llJ48. 'With such equipment, easily
installed and operated, schools may begin broadcasting for as little
as $2,000 if studio facilities are available. (If studio equipment is
required, the minimnm cost is usually increased by another $1,000
or more.) Snch inexpensive eqnipment fits into many school bndgets,
permitting FM broadcasting to begin with service to a small area, gen 
erally about 2 to 5 miles in radius. Higher powered equipment may
be added when desired. Many inquiries concerning lO-watt stations
and reqnests for application forms were received during the year, and
it appears that a considerable number of such stations will be estab 
lished during the next year.
A considerable nnmber of educational institutions are also licensed
in the standard (AM) broadcast service, and some of the latter operate
on a nonprofit basis.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 45
6. FACSIMILE BROADCAST SERVICE
Following years of development and experimentation, which indi 
cated that broadcast facsimile equipment was adequately developed,
the Commission adopted rules providing for commercial facsimile
broadcasting by FM stations, effecti,-e July 15, 1948. A few FM
stations carried on a regular facsimile service during the year, and in
some instances FM stations operated facsimile on a temporary basis
for experimental and exhibition purposes. Upon the further develop 
ment and distribution of inexpensive facsimile recorders, it is expected
that facsimile broadcasting will become a more important broadcast
serVIce.
:Facsimile transmission of printed matter and pictures, for reception
by recorders attached to FM receivers, may be accomplished on either
a simplex or a multiplex basis. ·When using simplex facsimile the
regular aural FM program is not transmitted, but with multiplex
operation both arc transmitted simultaneously. Itis, of course, prefer 
able that multiplex operation be employed so that there will be no
interruption of the aUt'al programs. ·While multiplex operation has
not been entirely satisfactory in the past, recent developments indi 
cate that it may readily be done WitJlOut perceptible interference be 
tween the sound and facsimile. ·With a relatively small additional
investment for facsimile equipment, FAr broa.dcasters may thus pro 
vide simultaneous aural and facsimile programming on the same
channel without perceptible advet'se effect upon eithet' program service.
7. INTERNATIONAL BROADCAST SERVICE
Though licensed by the Commission, international broadcast sta 
tlOllS operating in this country function under the auspices of the
Department of State. Their number-37-remained unchanged dur 
ing the year.
8. REMOTE PICK-UP BROADCAST SERVICE
Hemote pick-up broadcast stations, employing portable or mobile
transmitters of low power, are used for providing temporary circuits
to the main studios of broadcast stations from program origination
points where regular wire circuits are not feasible. Such transmitters
are used at sports events, parades, and for other special broadcasts.
'I11ese transmitters are also utilized for emergency communications
during the disruption of normal circuits by floods or storms. A rule
adopted during the year permits broadcasters in Alaska, Hawaii, and
Puerto Rico to use remote pick-up broadcast transmitters for any
auxiliary purpose except for transmissions intended for direct re 
ception by the general public.
46 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Frequency reassignments were established during the year for this
service in the ranges of 26, 153, 166, 170, and 45U megacycles, and pro 
posed rules were issued for specific groupings and licensing of these
frequencies. In view of this rule making procedure, construction per 
mits were not issued for remote pick-up broadcast stations during
the year except for frequencies in the 2-megacycle range. As a result,
the number of stations licensed did not change appreciably. How 
ever, hundreds of temporary authorizations were granted to permit
equipment to be used for the new frequencies until construction per 
mits and licenses may be issued.
9. ST (STUDIO·TRANSMITTER) BROADCAST SERVICE
FM broadcast stations are often located on mountain tops or at
other remote locations where wire circuits may not be available or
satisfactory for program transmission from the studio to the trans 
mitter. Studio-transmitter broadcast stations provide a high quality
connecting link between the studio and transmitter, and the band of
940 to 952 megacycles is allocated for this purpose. The number of
stations authorized during the year increased from 9 to 28, and the
equipment now available appears to be very satisfactory. In one case
a distance of 89 miles is spanned by one ST transmitter, using only a
few watts of power and directional antenna.
10. DEVELOPMENTAL BROADCAST SERVICE
To aid manufacturers or broadcasters who require radio transmis 
sion for the testing of transmitters and antennas and for radio propa 
gation studies, the developmental broadcast stations are authorized.
The number of these stations decreased by one during the year, giving
a total of 14. Projects carried on during the year by developmental
broadcast stations included the testing of high power FM transmitters,
the testing of FM antennas employing circular polarization, and the
development of remote pick-up transmitters operating in the 450 
megacycle range.
II. STATISTICS
TOTAL BROADCAST AUTHORIZATIONS
Despite a decrease of FM authorizations, the total number of out 
standing broadcast grants passed the 4,000 mark during the year. A
tabulation of stations licensed or holding construction permits in the
various classes of broadcast services at the close of the past two fiscal
years is shown below:
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 47
1949
In"'''''''
2,179 145
86,; (-155)
117 8
""
81
OS 12
37 0
2 0
""
,
28 19
..
(-1)
4,0& 118
1948Class of broadcast station
Standard (AM) . . . •. __~_______2,034
Frequency modulation (FM) . •.•_ 1,020
Television (TV) .. • __ . __ .._. .~._ __ 109
Television (experimental) • •. _ _ 124-
Noncommercial educationaL. . . _. __ 46
International.~..~_.__ ._ _ 37
Facsimile_. . __ . ._________ 2
:t~di;1~i:~?tier_<sT,_--:-:=:=::===:=:=:==:::::::::::::::::::::::::57~
De\"elopmental. __ • °
1
__-'-'''_1 -'-1__-'-'-'-
TotaL . •~___ 3,967
BROADCAST AUTHORIZATIONS BY STATES AND CITIES
A tabulation of AM, FM, and TV broadcast authorizations as of
June 30, 1949, showed that Texas had more such grants collectively
than any other State. However, California was a close second, fol 
lowed by Pennsylvania, New York, and North Carolina in that order.
Other States having more than a hundred broadcast authorizations
were Ohio, Illinois, Florida, and Georgia.
Texas also led in the number of authorized AM stations, followed
in turn by California and Pennsylvania. The most FM authoriza 
tions were in Pennsylvania, New York, California, Ohio, and Illi 
nois in the order mentioned. New York, Ohio, and California, re 
spectively, topped the TV list.
All States had AM stations, but five States (Arizona, Montana,
New Mexico, Vermout and iVyoming) had no FM authorizations, and
14 States were without TV grants. Puerto Rico's total authorizations
were more than any of 15 States. The Virgin Islands was the only
possession yet without a broadcast facility.
More than 1,300 cities and towns had broadcast authorizations of
one type or another. Chicago led in total authorized stations. New
York was a close second, followed by Los Angeles, Philadelphia, New
Orleans, Washington, and San Francisco. Both the AM and FM
lists were headed. by Chicago and New York, in that order, but Los
Angeles led all other cities in the number of TV autJtorizations.
A break-down of AM, FM, and TV authorizations by States and
chief cities follows:
48 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
BROADCAST AUTHORIZATIONS BY STATES
TV' Total
2 82
2 26
0 40
11 22<l
0 87
1 .0
1 12
•
2<l
5 101
3 101
0 26
6 127
3 11l
2 71
0 46
2
,.
3 OJ
0 19
3 44
3 79
6
"3 68
0
'6
2 68
0 26
2 27
0 11
0 17
1 87
1 ..
14 171
2 132
0 15
12 128
2
"
7 186
1 19
0 67
6 15
2 76
6 223
2 ..
0 8
2 79
1
"1
"1 74
0 12
0 8
0 9
0 Z7
6 0
120 3,17,)
AM FI't! I
Alabama 4 • •~•• 62 18
Arizona_. •• 4________ _ 24 0
Arkansas 4 •~__ _ _ 32 8
California ¥. • __ 4 .'. 147 62
Colorado . • . ._____ __ 34 3
ConnecUcut- •~_______ 26 13
Delll.wll.re • • • __ • _. __ .__ U 5
District of Colulllbia~_._4.__ 7 9
i1i~:-:~~~:~::~:~~:~~~~~~~::~~~~~~~~:;~~~~:~:~~::~~::~15
Indiana • .______ 44 29
Iowa 4 4___ __ 47 22
I·i i I
~:~~~~~~~:::::::::::::~:::::::::::::::::::::::::::::: 2J~
11 6
19 17
2:l 6
9.3 64
00 4()
14 I
63 63
<3 I.
108 71
11 7
43 14
14 1
,. 18
178 39
19 3
8 6
63 2.
46 7
3. 2<l
51 22
12 6
8 6
9 6
26 1
Virgin Islands-.--.- - --.----.--.•__ .•_._. .\__-c_co+__-c:co~+-c=-+__-:-=
TotaL _.. ..__ _._.._... 2, 187 8li8
I Does not include 68 authorized noncommercial educational broadcsst stations.
I Includes 2experimental authorizations operating on commercial basis (Los Angeles and salt Lake City).
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 49
BROADCAST AUTHORfZATIONS BY OI1'IES
Chicago.. . ._._.__ . ._
:."Jew York. "__ . . _
Los Angeles _
philadelphia. . .
1\ew Orleans . "__ ._
\Vashington • . ._. _0" ••__ • _ • " •• _
San Francisco . __ . . ._.". _
1\finncilpolis-St. Paul.••••• __ ... _
pittsburgh.__ ." . _
K.~~tf~toAi~Le~:~::~~~~::::::::::::::::::::::::::_
Baltimore. _
Boston _
Cleveland _
Seattle .~". _
J)ctrojL+__~. _
I\1iami. .~._
Houston. _., . _
st. Louis 0_. ,. __
~~~~Onati~_~~~~~~_~_~~_ _ _
Colwnbus (Ohio) . o~_
Dallas . 0 _
Jacksonville . ._.
Louisville_ ____ ____ ____ _ _, .~__ . _
Oklahoma City ._
I~rovidenoo___________ _
Richmond . _
nenver . • _
I\1i1waukoo__ . . _
San Diego . • .
Syracuse ._. _• . . _
Rochester . . _._. . _
~irI~f~:~§~~~;~~_~:~~~~~=====~~===~~=========~~======Fort \Vorth ._.~.
Tulsa.______ _ . _
Albany > • ._ _ ,_
'foledo . _
Spokano . _
AM FM 'rv Total
It> 14
,
"
14 12 6 32
12 16 7 29
10 10 3 23
11 7 3 2[
7
•
4 29
8 8 3
I'
11 3 3 17
7
•
1 17
10 6 1 17
•
6 2 17
7 6 3 16
7 6 3 16
6 6 3 15
•
5 1 15
5 6 3 14
6 7 1 14
8 4 1 13
7 5 1 13
6 5 1 12
5
,
3 12
4 5 3 12
5 5 2 12
6 3 3 12
7 3 2 12
7 4 1 12
6 5 1 12
6 5 1 12
8 3 0 11
7 3 1 11
7 3 1 11
5 4 2 11
6 3 1 10
4 4 1
•
5 2 2 9
,
3
•
8
6 1 1 8
5 2 1 8
5 2 0 7
3 3 1 1
6 0
•
6
50 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
BROADCAST APPUCATIONS
AM BROADCAST APPLICATIONS
Pending
July I, Received Disposed
''''
Pending
Junl'30,
''''
382
203
301
02
103
115
1,186
386
253
615
583
310
1,054
3,2Ql
103
240
619
481
331
...
2,828
'75
306
107
104
82
OJ"
1,559
New stations. ••. . • __ ._ ••••••••••__ •.
Ohange in facilltles .• •__ •
Renewals •• .
Llcense •••••• • ••• . •••
Transfers. • •
Miscellaneous. • _
[---,-1----1---'--1---
TotaL••••• ••• • _
FM BROADCAST APPLICATIONS
TotaL _
188 43 166
5 104
"17 106 102
81 275 267
27 54 66
161 1,414 1,539
469
"""
2,1991
65
60
21
"
15
26
266
TV BROADCAST APPLICATIONS
New statlons ._._______________________ 294 88 44 338
Change in faciUties_. • ._ 19 61 66 14
Renewals ._______________________________ 0 7 5 2
License_________________________________________________ 1 14 6 9
Transfers ... • • • • 0 22 12 10
Miscellaneous •
I
~'=O+---2=5=2+--~24c::c'1 -:-':::'
TotaL___________________________________________ 324 444 382 386
ALL OTHER BROADCAST APPLICATIONS 1
Total • _
113 252
12 45
42 W6
25 182
2 96
•
11'
203 1,000
218
"267
lU
53
124
885
117
13
81
33
40
,
318
TOTAL BROADCAST APPLICATIONS
New stations~._
Change in facilities .
Renewals . _
Ltcense____________ _ _
Transfers. . . _
MisC{'llaneons _
TotaL _
1,170
57' 81'
032
342 450 422 310
256 1,038 98. 305
301 952 1,030 223
111 503
'"
168
375 2,749 2,966 158
2,555 6,268
6,
667
1
2,156
1 Include. noncommercial educational, facsimile, Internatlonal, relay and studio link, experimental and
developmental.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 51
BROADCAST DELETIONS
Actual deletions of broadcast authorizations rose to 274 during the
year, with those in FM accountiug for more than 200. There fol 
lows a list of deletions by months:
AM FM TV
Monthly
total
5 2Q 3 28
7 17 0
"
10 38 1
,.
5 31 1 37
3 10 1 14
1 17 1 1.
6 1. 0
,.
7 16 0 28
1 14 0 IS
3
•
0 12
3
,
0 12
,
12 0 16
"
212
,
'"
Deletions
1949:
June .._.~_..•• • .
11ay . + • _
April.. • • _._
March..__ ._________ _ _
February _
January~.. _
1948:
DeC{'mber _
~o'·ember_.________ _
October r • • •••
Septl'wber••• .••T , ••"T. r _
August-__~. _
July_. • ----- ----~-----
1---1----1---1----'
Total_.~•.~.__
ASSIGNMENTS AND TRANSFERS
Pending
July 11948
Received D d
Pending
ispose June 30,llK9
'fotal__~~~~._
Ay _
F!lL _
TV_
Otb('c _
82 3:31 310 103
'n 54 00 Hi
o 22 12 10
_____________________________·~·~~·1----2-1----'00-'1----58-'-1'----'40
III 503 440 168
STANDARD BROADCAST FINANCIAL DATA
The following table shows comparative calendar year 1947-48
finaneial data for the standard (AM) broadcast industry as a whole:
AM networks and stations
Iunes/ment in tangible broadcast property:
Cost to respondent. _
Depreciation to date under present owner
Depreciated cost. _
Hevenues from~aleof network time. .. _
l{cverl\IPS from sale of nonnetwork time _
Commission pairj representatives, etc _
Hevenu('s from sale of talent, ote________ _ . _
Total broadcast revenuf'--s _
Total hroadcastexpenscs___ _ ._ _ _
Bruadeast jJl(·ome (before Federal income taxes} _
1947 11148
Percent
7 networks 7 networks
increase or
1,464 stations 1,824 stations
(decrease)
$150,373,623 $201,408,564 33.94
~7,065,89366,745,050 16.96
g,3, 307, 730 134,663,514 44.32
134,726,63t I41,052,3S3 4.70
239,360,055 275,667,926 15.17
47,969,521 50,292, 281 4.84
37,697,222 40,567,416 7,90
363,714,387 406,995,414 11.90
2111,918,447 342,903,730 17.47
71,795,940 64, 091, 684 (10.73)
The following table compares the 1947-48 broadcast revenues, ex 
penses and income of the four Nation-wide networks and their key
stations:
52 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
4 Nation-wide (AM) networks and their key stations
1947 I
1948
Percent
increase or
(decrease)
Number of key stations ._. _
Total broadcast revenues _
Total broadcaste~pellsNL.
Broadcast income (before I<'ederal income taxes) __ . _
The distribution of the 1948 broadcast revenues and broadcast in 
come (before Federal income taxes) as between networks and stations
is shown in the following tables:
Distribution of total (AM) broadcast revenues, 1948
Amount
!
l'ercent
of total
-----------1---
Amount
IPercent
23.9
2.9
56.2
17.0
$109,031,802 26.S
-----_...__ .
297,963,612 73.2
406,995,414 100.0
Distribution of (AM) broadcast income (before Federa-l income taxes)
Amount
Percent
of total
Amount Percent
28.2$18,08.5,191
23.8
...
Networks, including 27 owned and operated
st~~t~(jrks-and-ihelrilkey stations __ .. __ ----$i5~283: 970-
16 other ;network-owned and operated st.ations 2,801,221
1,797 other statiollil_ -- --- ---.--.---- --- --- --- 43,3'7, 338 -- ---'-7-.-'-- 4_,_,_00__ ,_,_'_9_3 7__1. 8
1,080 stationsservin~as network outlets _
717 stations not serving as network outlets. ____ 2,659, 155 4.2 . _
Total broadcast income (before Federal
incometaxos) ._ ... _ _
64,091,684 100.0
Because of the substantial number of new stations in their early and
less profitable months of operation included in 1948, trends in the data
given above may not correspond to trends in the experience of "old"
stations, For this reason, comparative data for the 2 years are pre 
sented below for identical stations, i, e., for stations which were in
operation in both years and which did not change their status during
the period with respect to class, time, and whether or not affiliated
with a network. The data are shown in terms of averages per station
of broadcast revenues, expenses and income for each class of station,
excluding the Nation-wide networks and their 11 key stations.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 53
>\.M broadcast stations·(excludin~11 koy :stations of Nation 
wide networks)
1947 1948
Percent in·
crease or
(df'~ea~e)
AVernges pH station:
Clear channel 5O-kw.unlimit~d:
Number of statlons. 41.
Tot.al broadcast revenues
Tot.al broudcast expenses _
Broadcast income ._
Clear channel.50-kw. part time:
Number of stations, 4.
Total broadcast revenues.
Total hroadcast t'xpeuses . _
Broadcast income . . . __
Cloor channel 5--25 kw. unlimited:
Nmobf'f or stations, 29.1
Total broadcast revenues. .
Total broadcast expenses . .
Broadcast incolDe • _. . ._
Regional tmlimited:
Number of stations, 342.
Total broadclLst revenues, _
Totalbroadca~texpenses _
Broadcast income . . _
Regional part-time:
Number or stations, 185.
Total broadcast rerentreS~_
'fotal brof\deast expenses , _
Droadcast income < _
Local un!imitM:
Number or stations. 641.
TatllJ brolldcast revellues, , _
'fotal broi>dcastexPtnse~~. . _
Broadcast income _
Loeal part time:
Number of stations, 66.
TotalbroadC!~strevenues ,. _
Total hroadcastcxpellses _
Broadca~tineome _
All stations:
Number or stations, 1,313.
Total broadcast rcvellues . _
Total broadcast expenses _
Broadca~tincome . , _
I Includes 1 part-time station.
NOTE.-All broadcast income before Federal income taxes,
$1.187,743 $1. 238. 993 4.31
857,682 897,736 4.67
J:JV, om 341,257 3.39
871,581 900,983 3.37
660,742 729,705 10.44
210,8.'l9 171,278 (18.76)
4ro.895 437,741 4.00
346,285 357,596 3.27
74,610 80,145 7.42
SOI,l29 310,777 3.20
228,111 245,7R6 7.75
73,018 64,991 (l0.99)
86, 486 11(}, 321 21.56
fl.1,779 103.576 26,65
4,707 6,745 43.30
92.521 100,600 &80
77,803 88,135 13.28
14,718 12,525 (14.90)
49,930 72,739 45.68
46,526 68, 275 46,75
3,404 4,464 31.14
191,863 205, III 6.90
150,971 166,M6 10.38
40,892 38,465 (5.94)
FREQUENCY MODULATION' BROADCAST FINANCIAL DATA
Of the 700 commercial FM stations on the air as of December 31,
1948, 593 (or 85 percent) were authorized to licensees of standard
broadcast (AM) stations and 107 (or 15 percent) to persons having
no AM broadcast interests.
Financial reports filed by FM licensees for the calendar year 1948
indicated that in the majority of cases where FM stations were au 
thorized to AM licensees, the two stations were "jointly operated,"
i. e" programs broadcast over the AM stations were duplicated simul 
taneously by the FM station at no additional cost to the advertiser.
Thus, of the 593 AM licensees operating FM stations, only 77 re 
ported separate revenues from their FM operation during 1948. A
summary of the financial information reported for these 77 stations
is as follows:
Total broadcast revenucs • •••~_.• _
Total broadcastcxpen~es._. . _
Total broadcastJos~__ , ••._~• _
Aggregate
$621,469
2. 15a, 659
1,532,100
Average per
station
$8, 070
n,970
19, I}OO
54 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Of these 77 FM stations, 54 had been in operation for the full year
of 1948. Total revenues of the full-year group averaged $9,300 per
stationand average expenses about $33,600. Thus, the average loss
for stations operating the full 12 months was slightly over $24,000.
Of the 77 stations, 4 reported an income from FM operation during
1948.
Estimated FM station expense data were submitted by 65 of the
516 FM licensees who apparently engaged in a joint AM-FM opera 
tion during 1948. These reports indicated that FM station costs in
an AM-FM joint operation averaged about $15,000 during 1948.
The following table summarizes the 1948 financial information re 
ported for 89 of the 107 FM stations operated by persons having no
AM broadcast interest:
Total broadcast revenues . 4 _
Total broadcast expellSNL . __ .•_. _
Total brO'ddcast loss. .. . _
Aggregate
$1,126,208
4,182,658
3,056,350
Average per
station
$12,6fiO
46,990
34,340
Of these 89 FM stations, 52 had been in operation for the full
year of 1948. Total revenues of the full-year group averaged $19,000,
expenses $53,300 with an avcrage loss of $34,300. All but 3 of the
89 reporting stations showed a loss from operations during 1948.
TELEVISION BROADCAST FINANCIAL DATA
During the calendar year 1948, the 4 television networks and 50
stations (total on the air during the year) reported aggregate revc 
nues of 8.7 .million dollars, aggregate expenses of 23.6 million dollars
and losses of almost 15 million dollars. All TV networks and sta 
tions reported a loss from operations during the year.
Of the 8.7 million dollars TV industry revenues, approximately 2.5
million dollars were derived from network programs with the remain 
ing 6.2 million dollars sold directly by stations.
The distribution of total revenues, expenses and losses as between
TV networks and stations was as follows:
4 networks (including 10 owned and uperated stations) . __ . .
40 other stations. __ •~•••_••~• _
Industry total. _
Revenues Expenses
L""
MilluJn6 Million8 MiUion.r
$4.8 $11. 2
$6.'
3.9 12.4
8.'
8. 'I
23.6 14.9
Exactly half of the TV stations operated 6 months or less with only
17 in operation during the entire year. Average monthly station
revenues ranged from $20,000 in the case of the "full year" stations
to $5,000 for stations in operation only 2 months or less.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 55
With respect to operating costs of TV stations, the following data
are based on 14 of the 17 stations in operation during the whole of
1948:
Aggregate annual operating costs of 14 stations $7,532,000
Average per station~_________________________________________538,000
Average per month per statioll___________________________________ 45,000
Highest annual operating expense~________________________814,000
Lowest annual operating expense_________________________________ 159,000
1 The wJde range in annua! operating costs reported during 1948 is accounted for, in large
measure, by differences in the number of hours of station operation per week.
In several of the large cities, TV station revenues during 1948 con 
stituted a relatively high proportion of the total revenues reported by
all stations (both aural and visual) in those cities. In Philadelphia,
TV revenues reported by three stations were almost 10 percent of the
combined revenues of all broadcasting stations in that city. In New
York and Washington, the proportion going to TV was approximately
8 percent, while in Baltimore and Milwaukee TV accounted for ap 
proximately 7 percent of the total revenues of all stations.
8lS9490-5O-Ci
[ Page 56 in the original document is intentionally blank ]
CHAPTER IV. SAFETY AND SPECIAL RADIO SERVICES
I. GENERAL
2. AERONAUTICAL RADIO SERVICES
3. MARINE RADIO SERVICES
4. PUBLIC SAFETY RADIO SERVICES
5. LAND TRANSPORTATION RADIO SERVICES
6. INDUSTRIAL RADIO SERVICES
7. INDUSTRIAL, SCIENTIFIC, AND MEDICAL SERVICE
8. EXPERIMENTAL RADIO SERVICES
9. LOW POWER RADIO DEVICES
10. STATISTICS
1. GENERAL
The Safety and Special Services comprise all of those varied and
extensive radio activities administered by the Conuuissioll with the
exception of the broadcast and common carrier services.
Until recently, the technical limitations on the use of the radio
spectrum made it necessary to confine the special employment of radio
to purposes directly concerned with the safety of life and property.
As a result of developments during the war years, the Commission
found it possible to embark upon a more liberal policy regarding the
general public use of radio. It encouraged experimentation on the
part of all those interested in order that the most informed judgment
possible might be exercised with respect to the fullest use that could
. be made of upper portions of the radio spectrum that neW techniques
had opened.
At the close of fiscal 1948, it was felt that the experimental program
had progressed sufficiently to enable the COInluission to determine
which services might best serve the public interest if established on a
regular basis. Accordingly, comprehensive rule-making proceedings
were instituted involving a complete revision of frequency allocations
and rules for the domestic use of two-way radio communication by all
types of land vehicles. Because of the widespread interest, extensive
oral argument was heard during October 1948.
As the result of the comments filed anel the argnments presented,
the Commission, on April 27, 1949, issued a report and order which,
among other things, established two new groups of services-Land
57
58 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Transportation, and Industrial-and revised the Public Safety Radio
Services. These rules represented the culmiuation of several years of
study and coordination by various State and local government instru 
mentalities, industry, and the Commission.
The new commercial services, together with those relating primarily
to the public safety which had been in existence for a number of years,
may, for convenience, be considered as falling into three general cate 
gories as follows:
1. Services devoted to safety.-Aeronautical; Marine; Public
Safety (Police, Fire, Forestry-Conservation, Highway Main 
tenance, and Special Emergency).
2. Sel'vices devoted to commerce, industry, and scielWe.-Land
Transportation (Railroad, Taxicab, Automobile Emergency,
Intercity Bus, Highway Truck, and Urban Transit) ; Indus 
trial (Power, Petroleum, Forest Products, Relay Press,
Motion Picture, Low Power Industrial, Special Industrial) ;
Industrial, Scientific, and Medical (special radiating equip 
ment, such as industrial heating and diathermy) ; Experi 
mental (developing new radio equipment and techniques) ;
and Low Power Radio Devices.
3. Servwes coveTing operation of radio transmitters by individ 
uals.-Commercial Radio Operators, Amateurs, and Citizens.
(For the purpose of this report, these services are grouped
and discussed in a separate chapter.)
The number of stations is one index of the regulatory workload in
connection with the Safety and Special Services. The nonbroadcast
services (exclusive of commercial and amateur operators) had less
than 10,000 authorized stations in 1940, did not reach 13,000 at the
outbreak of the war, but increased to nearly 22,000 in 1946, to over
36,000 in 1947, exceeded 47,000 in 1948, and numbered more than
61,000 stations, exclusive of associated mobile units, in 1949.
2. AERONAUTICAL RADIO SERVICES
The Aeronautical Radio Services, one of the most vital groups in the
safety category, is of the utmost importance to aircraft operation and
the safety of life and property in the air. This group includes not
only communications equipment for private and carrier aircraft but
also various navigational aids, both on the ground and in the air,
essential to provide an adequate system of air navigation.
The rapid rate of expansion of the Aeronautical Radio Services
which has been experienced since the war continued during 1949.
Comparison statistics show an increase from 20,858 authorized aircraft
and ground stations at the close of fiscal year 1948 to 27,227 aircraft
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 59
and ground stations at the close of fiscal 1949. Applications received
for 1949 totaled 17,824.
AVIATION ORGANIZATIONS ANI) CONFERENCES
In order to maintain these services at the very high level of efficiency
and reliability necessary for safety purposes and to encourage further
development, the Commission has had to increase its participation in
the varioUs interagency coordinating and policy groups both on a
domestic and international scale. The most important of these are
the International Administrative Aeronautical Radio Conference, the
Air Coordinating Committee, The Radio Technical Commission for
Aeronautics, and the International Civil Aviation Organization.
The International Administrative Aeronantical Radio Conference
convened in Geneva in May 1948 to deal with frequency assignments in
the bands allocated exclusively for aeronautical use. This conference
established technical standards for the assignment of frequencies and
drew up a plan for their allotment for the aeronautical mobile off 
route services. A plan for the route services could not be completed
because of lack of information, and a recess was called to enable ad 
ministrations to coordinate their requirements. During this recess
the nations of the Western Hemisphere met in Washington in con 
junction with the Fourth Inter-American Radio Conference, and an
allotment plan was established which will he used at the second session
of the International Administrative Aeronautical Radio Conference
convening in Geneva in July 1949. Upon conclusion of this confer 
ence, the recommendations and plan adopted will be used as a basis not
only for the international allocation of freqnencies but also in the high
frequency for the continental United States.
A major and continuing function of the Commission is participation
in the work of the Air Coordinating Committee. The ACC recom 
mends proposed United States policy on aviation to the President, and
acts as a vehicle for coordinating aviation matters between the various
departments of the government and industry. The Commission is
active in the ACC through its membership on the Technical Division
and the following subcommittees of that division: Aeronautical Com 
munications and Electronic Aids; Airspace-Rules of the Air and Air
Traffic Control; Search and Rescue; Dimensional Standardization;
and Airmen Qualifications.
In addition, the Commission is represented on the Air Traffic Con 
trol and Navigation Panel which was established by the Air Coordi 
nating Committee for the guidance and implementation of the National
All-weather Air Navigation and Traffic Control Program. The activ 
ity of this panel has been appreciable during the past year and is eX 
pected to increase during the next year.
~oREPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
! The Radio Technical Commission for Aeronautics is a cooperative
association of the United States Government-industry aeronautical
telecommunication agencies. Itconducts studies of aeronautical tele 
communications problems and related matters for the purpose of pro 
viding guidance to and coordinating the efforts of the organizations
concerned. One of the major and continuing activities of the Com,
mission involves participation in the executive committee and special
technical committees of the RTCA. During the past year, the RTCA
has studied and recommended on such problems as :
Test standards and procedures for VHF radio equipment.
Standardization of distance measuring equipment testing pro 
cedures.
Implementation of air traffic control transponder-private line
visual communication equipment.
Implementation of VHF emergency and airway station communi 
cation frequencies.
The International Civil Aviation Organization is an advisory group
'established to develop the principles and techniques of international
air navigation and to foster the planning and development of inter 
national civil aviation throughout the world. During 1949 the Com 
missiou assisted in the preparation of the United States position and
furnished advisers to three Regional Air Navigation meetings and one
divisional meeting of ICAO. These meetings were: North Atlantic
Regional Air Navigation Meeting, Paris; North Pacific Regional Air
Navigation Meeting, Seattle; African-Indian Ocean Regional Air
Navigation Meeting, London; and Communications Division Meet 
ing, Montreal.
In addition, the Commission helped prepare the United States posi 
tion for the Ocean Stations Vessel Conference in London, April 
May 1948, and the MET-Telecommunications Meeting held in
London, April-May 1949, through its activities on the Technical Di 
vision of the Air Coordinating Committee and its subcommittees.
During the past year it bccame increasingly evident that the de 
velopment of unified regulations and specifications covering the erec 
tion and marking of radio towers, which are potential hazards to
aircraft in flight, were required. This matter received extensive cou 
sideration during 1949 and, at the present time, a proposal is being
discussed with radio interests in order to arrive at a basis for the
promulgation of rules setting forth criteria for determining obstruc 
tions to air navigation caused by radio towers. Since both aviation
and radio interests are users of airspace and, since the locations of air 
ports are normally ideal locations for the erection of antenna towers,
the interests are conflicting to a certain degree. For this reason, it
has been and will continue to be necessary to effect thorough cOOl'di-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 61
nation in order that the standards established are equitable to both
interests.
AIRCRAFT RADIO STATIONS
The largest increase in the Aeronautical Radio Services was that of
private aircraft. There were 23,723 licensed aircraft stations at the
end of 1949 compared with 17,736 in 1948 and, of the former, 21,517
were private planes. This large increase was due to several factors.
More and more aircraft owners are becoming familiar with the ad 
vantages of very high frequency commnnication, thus making the use
of radio more popular. A very high freqnency plan for "air carrier
en route" communications in the United States was formulated by the
Commission during 1949 and, although full effect of this plan is not
expected until 1950, the implementation accomplished during 1949 is
reflected in the growth of aircraft stations.
There has been a sizable increase in the number of aircraft using
specialized air-borne radio equipment such as radio altimeters, air 
borne radar, and other traffic control and navigational equipment.
Until recently, tbis equipment was used primarily by transport air 
craft; however, private aircraft production has shifted to larger type
planes, some of which are used for executive purposes and are capable
of carrying equipment comparable to the regular air lines.
The aforementioned factors, together with the fact that many major
airdromes now require aircraft to be radio-equipped before they can
use their facilities, and the fact that a large number of aircraft manu 
facturers offer two-way radio as standard equipment on their aircraft
have resulted in a 33 percent increase in the number of aircraft sta 
tions during 1949.
AERONAUTICAL LAND AND AERONAUTICAL FIXED RADIO STATIONS
The Aeronautical Land and Aeronautical Fixed Services are other
continuously expanding aids to aviation. These stations provide radio
communication service necessary for the safe, expeditious, and econo 
mical operation of aircraft. At the close of fiscal 1949, the Commis 
sion had licensed 1,485 such stations in the United States and Alaska.
The expansion is due in large measure to the implementation of the
VHF plan previously mentioned. VHF aeronautical stations are
being located within approximately 200 miles of each other along es 
tablished ail' routes to provide effective communication. This plan
provides for future expansion and will accommodate additional VHF
aeronautical stations as required by the growth of the industry.
The growing importance of Alaska and the reconversion from mili 
tary to civilian status of the airways has necessitated major changes
in aeronautical communication. An Alaskan communications plan
·62 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
is being formulated, and wiII require considerable coordination be 
tween Government agencies and industry because of the diversified
nature of Alaskan operations before it can be finaIIy implemented.
CIVIL AIR PATROL STATIONS
The Civil Air Patrol is a civilian auxiliary of the United States Air
Force but its radio stations are licensed by the Commission. The
number of ground stations in this service has increased from approxi 
mately 1,000 in 1948 to 1,608 in 1949. This count does not accurately
reflect the actual number of CAP stations, since one lIcensed base sta 
tion may have as many as 100 mobile units associated with it. To
expedite the handling of applications for radio facilities to be used
in this service, it has been necessary to promulgate and add appropri 
ate rules to part 9 of the Commission's Rules and Regulations Govern 
ing Aeronautical Services.
AIRDROME CONTROL STATIONS
The number of airdrome control stations licensed at the end of the
fiscal year showed a decrease of six stations as compared with 1948.
This is due mainly to the fact that theDivil Aeronautics Administra 
tion has taken over the operation of certain airdrome control stations
throughout the country rather than to any cessation of operation.
AERONAUTICAL MOBILE UTILITY STATIONS
This service was first implemented in 1947 and is used aboard crash,
maintenance, and emergency vehicles at airdromes for communication
with the control tower, ground vehicles and aircraft on the ground.
It has increased from 109 stations in 1948 to 162 stations in 1949.
AERONAUTICAL NAVIGATION RADIO STATIONS
This service, for the most part, is operated by the Civil Aeronautics
Administration; however, the number of stations licensed by the Com 
mission has increased from 66 in 1948 to 88 in 1949. This increase is
caused primarily by the inauguration of new routes in areas where the
CAA is not prepared to render the desired service.
FLYING SCHOOL RADIO STATIONS
Flying school stations on the ground and aboard aircraft are used
for communication pertaining to instructions to students or pilots
while actuaIIy operating aircraft. There were 19 flying school sta 
tions licensed at the close of fiscal 1949, whereas 23 stations were
licensed at the close of 1948.
FLIGHT TEST RADIO STATIONS
A flight test radio station is a radio station, ground or aircraft, used
for the transmission of communications in connection with the test of
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 63
aircraft and major components of aircraft. There were 89 flight test
stations licensed at the close of fiscal 1949 in comparison with 104 flight
test stations the year previous.
AERONAUTICAL PUBLIC SERVICE RADIO STATIONS
The pnblic service type of station has been provided so that indi 
viduals aboard aircraft in flight can communicate with land radio
facilities connected with land-line telephone and telegraph systems.
'There were 606 public service aircraft at the close of fiscal 1949, or
94 more than the year before. Although an exclusively aviation
public air-ground telephone communication system has not yet been
provided, this service has continued to increase. Coastal telegraph
and coastal telephone stations are providing this communication serv 
ic.p at the present time.
3. MARINE RADIO SERVICES
GENERAL
The use of radio on ships is the oldest of the safety radio services
and the one with which the public is perhaps the most familiar because
of the publicity attending its use under distress conditions. The
Marine Radio Services include the radio equipment of ships for com 
mercial as well as for safety communication and for aids to navigation,
the shore stations of all types, and the necessary means to connect them
with general public service land line systems. Communication may be
between ships, between ships and aircraft, or between ships and shore.
Since many ships normally engage in international voyages, they must
be able to communicate with the ships and shore stations of other
maritime nations.
Broadly speaking, maritime radio uses may be divided into those
which are compelled by law for safety purposes, and those which are
voluntary on the part of ship owners and combine safety with other
purposes such as navigation and commerce. The Commission is re 
quired by the Communications Act to license all radio stations (other
than United States Government stations) on board ships of United
States registry whether voluntary or compulsory, and of whatever
kind (radiotelephone, radiotelegraph, radar, etc) . At the same time,
the Commission is responsible for the administration, including many
phases of enforcement, of the purely compulsory safety provisions of
the law in this field.
Important from the compulsory safety standpoint, in addition to
the Communications Act, are the Ship Act of 1910 and the Interna 
tional Safety of Life at Sea Convention (London, 1929 and 1948).
The Ship Act applies only to the Great Lakes; the other two are
applicable to the oceans. The 1948 Safety Convention, which will
supersede the 1929 Convention, establishes numerous important ad-
64 REPORT OF THE FEDERaL COMMUNICaTIONS COMMISSION
vances in safety at sea through compulsory radio. During 1949, steps
were taken by the Commission looking toward negotiations with
Canada to improve the safety situation on the Great Lakes.
Apart from its aforementioned responsibilities, the Commission is
obliged by the Communications Act to foster new uses of radio in the
public interest. In this connection, the past year witnessed some sig 
nificant developments. Important from the marine standpoint was
the establishment, on an experimental basis, of certain radar stations
located at fixed positions on or near the shore intended to aid the safe
and expeditious movement of ships in adjacent waters. Another im 
portant activity was laboratory and field investigation on the part of
the Commission, together with considerable national and international
consultative work, looking to the development of a suitable radiotele 
phone automatic alarm signal and receiving device for calling and
distress purposes on the new international radiotelephone frequency
2182 kilocycles.
The Commission continued to cultivate and maintain liaison with
the domestic government and nongovernment shipping interests. In·
this connection, it is active in the Radio Technical Commission for
Marine Services which is striving to bring government and industry
closer together to the mutual benefit of all concerned.
A further discussion of various phases of marine radio activity is
set forth below.
ADMINISTRATION OF SHIP SAFETY PROVISIONS
As of June 30, 1949, the Commission's records disclosed that 1,863
ships of United States registry were compulsory equipped with radio 
telegraphic installations under title III, part II, of the Communica 
tions Act. These ships, when navigated in the open sea, must carry
qualified radiotelegraph operators and maintain radio watches for
safety purposes.
In administering these provisions, the Commission finds it neces 
sary from time to time to impose fines and forfeitures and to apply
other corrective measures of a less stringent nature. Because of a·
small decrease in the total number of compulsory equipped ships and
partly because of the existence of a maritime strike in this country
from August to November 1948, the number of violations involving
this class of vessel declined slightly during the year. However, the
number of reported violations involving foreign vessels subject to com 
pulsory United States radio requirements showed an increase over
1948.
VOLUNTARILY EQUIPPED SHIP STATIONS
An aggregate of 18,140 ship stations are licensed by the Commission
to Use radio for communication. Of these, 15,647 use radiotelephone
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 65
and 630 employ radiotelegraph, all "voluntarily" established. Viola 
tion cases concerning voluntarily equipped ships showed a marked in 
crease during the year. Further, the continuing increase in the num 
ber of radiotelephone equipped ships has aggravated the already seri 
ous congestion in the medium frequency band in which practically all
of these stations now operate. Hence, the Commission has had to
devote more effort to the regulation and control of such frequencies
in order to secure their effective and beneficial use by all concerned.
SHIP RADIO EXEMPTIONS
The Communications Act and the 1929 Safety Convention author 
ized the Commission to grant exemptions from the compulsory radio 
telegraph requirements of the act and the treaty respectively when the
vessels concerned are navigated under certain limiting circumstances.
Acting under this authority, the Commission continued to grant
blanket exemptions, on an annual basis, for passenger vessels of 15
gross tons or under when navigated not more than 20 nautical miles
from the nearest land or more than 200 nautical miles between two
consecutive ports, and to passenger vessels of less than 100 gross tons
when navigated within certain prescribed areas which are not con 
sidered hazardous. It was felt that it would be unreasonable, be 
cause of the size of these vessels, to require the radio installation and
operators prescribed by law. Individual applications for exemptions
received during theyear nnmbered 56.
INTERNATIONAL COORDINATION
The administration of the maritime services cannot be carried
forward without international coordination inasmuch as ships travel
to almost all parts of the world and there must be universality of
communication.
Many of the provisions contained in the regulations resulting from
the International Administrative Radio Conference of Atlantic City,
1947, came into force for this country on January 1, 1949, and brought
several changes in the Commission's rules governing ship service. In
order to accomplish these changes, as well as others necessitated by
the wartime lag, over-all revision was undertaken during the year. A
redraft was completed and conferences thereon were held with indus 
try representatives. It is anticipated that the proposed rules will be
finalized during the coming year.
The 1948 Safety Conference reviewed the 1929 Safety Convention
and adopted improvements in the application of radio for the safety
of life and property at sea. The United States Senate ratified the
1948 Convention and, assuming its future proclamation by the Presi 
dent and ratification by the prescribed minimum number of countries,
it will come iuto force on January 1, 1951.
66 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The Commission participated in the preparatory work for the sixth
meeting of the International Radio Consultative Committee (CCIR)
to be held in Prague, Czechoslovakia, in 1951. This Committee is
associated with the International Telecommunications Union. Its
function is the study of technical radio problems and the submission
of recommendations to the 76 members of the Union. The latter then
translate such recommendations into proposals for possible adoption
by the next International Administrative Radio Conference.
The Commission was represented in the United States delegation to
the European Maritime Regional Radio Conference at Copenhagen in
the summer of 1948. This Conference, held simultaneously with the
European Broadcast Conference, reached tentative agreements for
the protection of the frequency band used fundamentally for dis 
tress and safety by the maritime mobile radiotelegraph service against
encroachment by European broadcast stations operating in portions
of the same band. As a result, several continental European broad 
cast stations were removed from this band.
The 1947 Atlantic City Conference extended the lower limit of the
standard broadcast band from 545 to 535 kilocycles, realizing, how 
ever, that this might create a source of interference to the operation
of certain types of ship-borne auto alarms designed to intercept distress
signals on frequencies between 487.5 and 512.5 kilocycles. Numerous
tests were conducted during the year to determine the extent to which
existing types of auto alarms might be interfered with by emissions
from broadcast stations using the new 540 kilocycle frequency.
Of particular advantage to maritime radio was the recognition by
the Fourth Inter-American and Region 2 Radio Conferences of a de 
tailed safety radio system for the maritime telephone service based
upon the new calling and distress frequency 2182 kilocycles, as well as
standardized frequencies for operational communications and public
correspondence. Important regulations for relatively short-distance
maritime telegraphy also were established. These matters required
coordination with contiguons countries, and will require further co 
ordination with countries throughout the Western Hemisphere.
A Commission marine radio engineer was assigned to the United
States delegation attending the Region 1 and 3 Radio Conferences at
Geneva at the close of the year. These sessions are similar in purpose
to the Region 2 Conference, except that they pertain to other regions
of the world. Another marine radio engineer rendered technical as 
sistance to the United States delegation tn the Provisional Frequency
Board in session at Geneva for the purpose of preparing the new In 
ternational Freqnency List pursuant to provisions of the Atlantic
City Radio Conference.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 67
Informal conferences were held with Canadian and United States
interests concerning a proposed treaty encompassing compulsory
safety radio requirements of a regional character for ships plying the
Great Lakes. Vessels navigating these waters are excluded from the
Convention for Safety of Life at Sea and from title III, part II, of
the Communications Act. It is expected that these negotiations will
be completed shortly.
The 1948 Safety Conference adopted, for the first time in the his 
tory of radio, provisions which will permit the use of radiotelephone
equipment and operators as an alternative to compulsory radiotele 
graph and operator requirements on previously exempt class of cargo
vessels of between 500 and 1,600 gross tons engaged on international
voyages. These provisions, however, may be waived for individual
ships under certain conditions. It is estimated that not more than
200 United States ships would come under this requirement when the
new Safety Convention comes into force January 1, 1951. Radio 
telephone equipment on those ships must be capable of operation on
the radiotelephone distress frequency 2182 kilocycles adopted at the
Atlantic City Conference, 1947, and further included in the Regula 
tions of the Inter-Americau Radio Agreement of Washington, 1949.
During the year, informal negotiations were undertaken with inter 
ested European maritime nations looking toward an advance partial
implementation of the Radiotelegraph High Frequency Maritime
Mobile Plan inclnded in that portion of the Atlantic City Radio Regu 
lations which is to become effective some time after 1949.
Another matter discussed informally with Europe maritime nations
and with Canada concerned the necessary coordinated organization
of the maritime mobile telephone service in the very high frequency
152-162 megacycle band. Because the United States had previously
adopted a channel separation in this band of 60 kilocycles and the
United Kingdom had adopted 100 kilocycles for this purpose, only
one maritime mobile service frequency in this band was internationally
agreed upon at Atlantic City-namely 156.80 megacycles, for calling,
safety, intership, and 'harbor-wntrol purposes. Through these in 
formal discussions, a workable compromise was achieved, and fre 
quency assignment plans for radiotelephone service in this band are
being prepared for implementation in the United States, Canada, and'
Great Britain. The Commissiou, through readjustments of its VHF
frequency allocation plan, adopted 100 kilocycle channel separation
in this maritime band in the interest of international standardization.
RADIO TECHNiCAL COMMISSION FOR MARINE SERVICES
The Commission does not have the staff nor facilities sufficient to
develop adequately new equipment or conduct extensive technical in-
68 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
vestigations as are required from time to time for effective regulation
of the maritime service. Consequently, much of the necessary infor 
mation must be obtained from the researches and developments of
other government agencies, private industry, and joint industry-gov 
ernment committees such as the Radio Technical Commission for
Marine Services (RTCM), on which the Commission is represented.
SAFETY ON THE GREAT LAKES
During the year, the Commission, in coordination with the Inter 
department Radio Advisory Committee and the Radio Administration
of Canada, allocated a new intership medium working frequency
(2003 kilocycles) exclusively for use by ships on the Great Lakes.
This frequency, available for safety and ship operational radiotele 
phone communication effective August 1, 1949, replaces the present
intership medium frequency (2738 kilocycles) on the lakes, which
is widely used for this same purpose in other regions. The serious
interference condition heretofore existing on 2738 kilocycles in the
Great Lakes area wjJJ thereby be alleviated.
COMMERCIAL COAST STATIONS
During 'Vorld 'War II, United States military stations made use
of the coast telegraph high frequencies normally assigued to com 
mercial stations by the Commission. These frequencies are gradually
being released and returned to coast stations previously using them,
so that in numerous instances during the past year coast stationsre~
gained assignment of their prewar frequencies or substitutions there 
for. There were no changes in the number of public coast harbor
(telephone) stations although a large number of applications were
filed. In most eases the applications were not finally acted upon by
the Commission because of the lack of frequencies available for addi 
tional assiguments, and in four eases the applications were designated
for public hearing. These hearings, in all probability, wjJJ not occur
until extensive study concerning a revision of frequency allocation
for all radio services within the band 2000-4000 kilocycles has been
made relative to the Inter-American Radio Agreement of Washing 
ton, 1949.
A new public coast telegraph station was authorized at Jackson 
vjJJe, Florida, where none previously existed, in order better to serve
ships using that port.
The total number of public coast harbor (telephone) stations in the
United States, exclusive of Alaska, is 52. There are five coast tele 
phone stations in the United States employing high frequencies for
long-distance public service with ocean-going vessels. In addition,
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 69
three mobile press stations are licensed for ship-shore telegraph press
traffic exclusively, and 80 Class 2 experimental stations are engaged in
the development of marine radio services.
In Alaska, where both radiotelegraphy and radiotelephony are
widely used to exchange safety, weather and commercial messages, the
number of licensed stations on land (excluding stations in the aero 
nautical services) inCl'eased to a total of 480 for point-to-point com 
munication and 302 for communication with ships in Alaskan waters.
As an established regulatory policy, these stations normally are li 
"ensed for general public correspondence entirely within the terri 
tory; in addition, they operate in conjunction with the network of
United States Government point-to-point stations under jurisdiction
of the Army Signal Corps. As an aftermath of World War II, the
activity of the military stations as related to commercial stations has
given rise to certain problems of a regulatory and policy nature
which are being studied jointly by the Commission and the Army.
RADAR AIDS TO NAVIGATION
The first shore-based nonmilitary harbor radar authorization in the
United States was granted on an experimental basis to the City of
Long Beach, California, on March 16, 1949. It emphasized a notable
growth in radar as an aid to the movement of ships. Similar au 
thorizations were subsequently granted to the cities of San Francisco,
Calif., and Baltimore, Md. The value of shore based radar in asso 
ciation with very high frequency radiotelephone communication as an
aid in the movement of ships in periods of reduced visibility will be
tested by these trial operations. As a result of coordination with the
United States Coast Guard, a limitation has been imposed that in 
formation furnished through the operation of these radar stations will
not be used to aid the movement of any ship unless the station licensee
first obtains from the Commandant of the Coast Guard a permit such
as required by law for a so-called private aid to navigation.
A number of experimental radar authorizations (for radionaviga 
tion land stations) has been granted to the petroleum industry en 
gaged in off-shore oil-drilling activities in the Gulf of Mexico. These
grants were for the very limited purpose of aiding in the movement of
ships utilized by the licensee in his particular operations.
Aside from the radionavigation land stations, there were 863 United
States merchant ships equipped with radar for regular use in na"i 
gation, and additional installations are being made continually. .
A few experimental authorizations have been granted to cover shore 
based radar training stations for the training of merchant marine
deck officers in shipboard radar operation.
70 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
EQUIPMENT APPROVAL
Three new types of radiotelegraph transmitters for use aboard ships
compulsorily equipped for safety purposes were given type approval
after commercial laboratory tests witnessed by Commission engineers.
Two types of ship radiotelegraph receivers were approved with re 
spect to the Commission's rules imposiug limitation on the radiation
of energy from shipboard receiviug equipment. A number of com 
mercial type radar sets have also been type approved for licensing in
the ship service.
INTERFERENCE PROBLEMS
Numerous reports of interference involving the maritime service
were received during the year. Some of this interference was caused
by emissions ou frequencies which were multiples of the assigned fre 
quencies. In such case the interference is usually readily eliminated
by suppression circuits. In other instances, when interference results
from stations in the same area using adj acent frequencies, the inter 
ference is not so easily eliminated. Instances of the latter kind have
been numerous in Alaska where ships, coast, and point-to-point tele 
phone stations have repeatedly been reported by the Civil Aeronautics
Administration stations to have caused interference to reception from
aircraft. While one case of interference was so severe that the use of
a commercial point-to-point frequency in one locality was discon 
tinued, the Commission is studying the geueral problem withthe object
of possibly eliminating the interference without serious curtailment
in the use of frequencies already licensed.
4. PUBLIC SAFETY RADIO SERVICES
After extensive rule-making proceedings, the Commission, on April
27,1949 approved a major revision of Part 10, Rules Governing Emer 
gency Radio Services, to become effective July 1, 1949. As virtually
all communications authorized in the Emergency Radio Services relate
either directly or indirectly to public safety and general welfare, and
licenses are normally limited to instrumentalities of government (i. e.,
State, county, and municipal governments), this part has been renamed
"Rules Governiug Public Safety Radio Services," and includes the
Police, Fire, Forestry-Conservation, Highway Maintenance, and
Special Emergency services.
The revised rules embody the Commission's experience, from both an
administrative as well as a technical standpoint, obtained since 1938
when part 10 was originally promulgated. Information regarding
.the administrative procedures incidental to submission of applications,
technical staudards for the transmitting equipment, operator regula 
tions, and rules for the particular services, are now grouped in part 10.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 71
Increased frequency allocations have been approved for the different
services which will allow more flexibility and a broader scope of serv 
ice for existing operations. The Highway Maintenance Service has
been established on a regular basis. The revised frequency allocations
were adopted after extensive rule-making procedures, and, while some
changes in the previous public safety allocations were required, par 
ticularly with respect to the police and forestry services, the over-all
allocation for these services as now set forth in part 10 appears to
meet existingneeds more fully than previous allocations.
The trend in equipment development has been in the direction of
apparatus capable of satisfactory performance while at the same time
conserving frequency space. In this connection, several manufactur 
ers striving to meet the channel width requirements established by the
Commission have produced equipment which can be reliably operated
on adjacent frequency assignments. This achievement is considered
a major advancement in the communications field since all previous
equipments have required at least alternate assignment separation.
Development of microwave equipment for use in control and repeater
links, which are an integral part of many radio systems, has been very
slow and is still not readily available for application in these services.
Control and repeater operation is being continued temporarily on the
lower land mobile frequencies, pending availability of higher fre 
quenci equipment.
POLlCE RADIO SERVICE
The Police Radio Service is available to non-Federal governmental
organizations with police responsibilities. The licensees in this serv 
ice, through the judicious use of the various classes of stations provided
for in the rules and through use of the increased number of frequencies
made available, may obtain service between headquarters base stations
and mobile stations, and between mobile stations, including walkie 
talkie operation between officers in the field where necessary, as well as
intercity communication by either voice or telegraph emission.
Police radio stations have been established in every State in the
country. Nearly every county and most cities with populations above
5,000 persons now have some degree of police radio service. More
than 4,500 authorizations covering approximately 50,000 radio trans 
mitters were outstanding on June 30, 1949.
In addition to established voice and telegraph radio communications
in the police service, some licensees are developing other radio and
electronic techniques to assist in performing efficient police work.
Examples of such development are the radio speed meter, which from
a fixed point can measure the speed of passing automobiles, and spe-
85949Q-lSo--6
72 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
cialized television for transmitting police line-ups from headquarters
to all precincts.
FIRE RADIO SERVICE
In view of the increased frequency allocation to this service and
the needs of smaller communities, the eligibility requirements for the
Fire Radio Service has been extended from cities having a minimum
population of 250,000 to include not only all of the various govern 
mental subdivisions, such as cities, counties, States, territories, and
possessions, but also persons and organizations charged with specific
fire-protection activities. The latter category now includes volunteer
fire departments.
While the smaller communities may continue to serve both the police
and fire mobile stations from the police base station, it is expected
that many of the present licensees will provide separate systems for
each service, particularly in the larger communities where each serv 
ice is relatively busy. Judging from the widespread interest shown
by volunteer fire departments throughout the country, a very sharp
rise in the number of stations may be expected. A total of 124 licenses
was outstanding attheyearend.
The scope of communication provided under the revised rules for
the fire service now permits a fire headquarters base station on a
secondary basis to transmit to radio receivers at fixed locations. This,
for example, would permit the operator to place a call on the air
advising volunteer firemen in their homes or places of business of the
location of a fire, thereby precluding the necessity for such personnel
to assemble at headquarters. This operation is, of course, in addition
to the normal communication with mobile units and secondarily be 
tween base stations.
FORESTRY-CONSERVATION RADIO SERVICE
In order to permit a closer coordination between related state agen 
cies, the previously established forestry operation was combined with
conservation activities and established as the Forestry-Conservation
Radio Service in the new rules. Stations in this service are authorized
to transmit communications directly relating to public safety and the
protection of life and property including those essential to the pre 
vention, detection, and suppression of forest fires and official forestry 
conservation activities. Eligibility for this service is restricted to
States, territories, possessions and other governmental subdivisions,in~
cluding counties, cities, towns, and similar governmental entities, and
persons or organizations charged with specific forestry-conservation
activities.
A total of 565 licenses was outstanding on June 30, 1949, including
over 7,000 authorized radio transmitters. Some increase in the num-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 73
ber of stations in this service may be expected as the conservation
activities in many states begin to more fully utilize radio communi 
cation in their operations.
HIGHWAY MAINTENANCE RADIO SERVICE
The Highway Maintenance Radio Service is a new service author 
ized on a regular basis as of July 1, 1949. Eligibility for this service
has been restricted to states, territories, possessions, and other govern 
mental subdivisions. Stations in this service are authorized to trans 
mit messages directly relating to public safety and the protection of
life or property, also communications essential to official activities
directly relating to the maintenance, supervision, and operation of
public highways. This service, like other public safety services, pro 
vides for communication primarily between base stations and mobile
stations, and between mobile stations, and secondarily between base
stations.
The use of radio communication in highway maintenance was ob 
served for some time by the Commission through the medium of
reports on experimental radio operation prior to the establishment
of the service on a regular basis. At the time of its regular establish 
ment, there was a total of 165 stations operating experimentally. It
is expected that this service will have a rather rapid growth in view
of its regular frequency allocation and the material contribution radio
makes toward the public safety and convenience in the highway main 
tenance field.
SPECIAL EMERGENCY RADIO SERVICE
Communications in the Special Emergency Radio Service are re 
stricted to matters directly relating to public safety and the protection
of life and property. The eligibility requirements have been expanded
in the revised rules to include physicians normally practicing in re 
mote areas where other communication facilities are not available,
ambulance services, beach patrols responsible for life-saving activities,
school bus operators having regular routes into rural areas where
other communication facilities are not available. These are in ad 
dition to the previously recognized eligible groups, namely, persons
having establishments in remote locations where other communication
facilities are not available, organizations established for relief pur 
poses in emergencies and which have a disaster plan, and communica 
tion common carriers when using such facilities for bridging breaks in
lines.
A total of 87 licenses was outstanding. New groups, now eligible
under the revised rules, will undoubtedly seek licenses in large
numbers.
74 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
DEVELOPMENTAL RADIO OPERATION
Rules governing developmental or experimental projects expected
to be used exclusively in the Public Safety Radio Services were in 
corporated in the revised part 10, effective July 1, 1949. This ad 
dition was considered essential for better administrative control and
evaluation of certain experimental phases of the activities related to
the established services.
5. LAND TRANSPORTATION RADIO SERVICES
RULE CHANGES
The adoption of part 16 of the Commission's Rules, on April 29,
1949, consummated the efforts of the Commission to consolidate radio
services which are closely connected with the transportation indnstry.
Part 16--Rules Governing Land Transportation Radio Services 
embraces regulations for the following individual radio services: Rail 
road Radio Service, Taxicab Radio Service, Automobile Emergency
Radio Service, Intercity Bus Radio Service, Highway Truck Radio
Service, and Urban Transit Radio Service.
These rules were drafted after considerable study had been made
of the docket and the comments at thc oral argument held in this
connection. They reflect to a large extent the experience gained in
the general mobile experimental program which has been in progress
since the end of the war. The rules are designed primarily for per 
mitting the maximnm utilization of frequencies allocated to the va 
rious services with a minimum of interference. They cover not only
the technical specifications fo1' the equipment to be used but also pro 
vide for the taking of necessary steps by licensees to determine that
the equipment is in proper operating condition. Application pro 
cedures looking toward expeditious processing are also provided in
the rules.
One of the features of the new mles is a provision whereby a person
who is licensed in anyone of the Land Transportation Radio Services
can render dispatching service on a cost-sharing nonprofit basis to any
other person engaged in the same type of transportation activity.
This will permit separate companies to make nse of common facilities,
thereby reducing original investment and operating cost. Provision
is also made for experimental use of newly developed equipment pur 
suant to the terms of a "development" license.
RAILROAD RADIO SERVICE
In view of the overwhelming demand made upon the Commission
for frequencies in the 152-162 megacycle band, it has been necessary
to review the frequency allocations to all services for the purpose of
revaluating their individual requirements. Inasmuch as information
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 75
then available indicated that 30 nsable frequencies would be required
to provide satisfactory radio communication systems for the railroads
in Chicago, which was the most congested area, the original frequency
allocation, made in May 1945, allocatad 60 frequencies to the Railroad
Radio Service.
Due to the technical limitations of equipment, assigmnents could
be made only on the alternate channcls. Therefore, it was necessary
to allocate a total of 60 channels in order to provide 30 usable channels.
As the railroads, until recently, have had difficulty in obtaining radio
equipment suitable to their needs, and as they experienced difficulty
in integrating radio communication with their already existing com 
munication systems, the Railroad Radio Service did not expand as
rapidly as some of the other radio services.
In reviewing the situation it was found that the railroads were
using only 13 channels in Chicago and, by making use of new im 
proved radio equipment which is now available, the required 30 chan 
nels in that area could be obtained with less than the 60 frequencies
originally allocated. Consequently, following the allocation made
in. the proposed rules for the Railroad Radio Service, released June
11, 1948, the final rules allocated 41 frequencies to the railroads in
the Chicago area. Thirty-nine of these 41 frequencies are allocated
to the Railroad Radio Service for use outside of the Chicago area but
may also be used by stations in the Public Safety Radio Service in
areas where there will be no interference to the Railroad Radio Serv 
ic~.Although this action results in a reduction of 19 and 21 channels
respectively, it is believed that a satisfactory radio communication
system can be evolved and the safety aspects of the service will not
be impaired.
TAXICAB RADIO SERVICE
The Taxicab Radio Service has at the present time approximately
3,000 separate radio communication systems involving about 4il,000
mobile units. Although seriously hampered by the lack of frequen 
cies, this service has grown at a phenomenal rate.
During the 4 years it has been authorized, licenses were issued on
an experimental basis and only two frequencies in the 152-162 mega 
cycle band were available for assignment. However, in accordance
with the final rules which became effective July 1, 1949, a total of
eight frequencies in this band are now available. In addition, ten
frequencies in the 450-460 megacycle band have been allocated to
this service for developmental operation looking toward the eventual
establishment of this service on higher frequencies.
It is felt that as soon as these additional frequencies can be put into
use, interference caused by simultaneous operatiou of several systems
on the same frequency in the same area will be reduced and a general
76 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
improvement will continue to grow at a rapid rate for the next sev 
eral years.
AUTOMOBILE EMERGENCY RADIO SERVICE
The Automobile Emergeucy Radio Service has been included as a
part of the Land Transportation Radio Services because of the very
close relationship with other transportation activities. This service
is available to persons or organizations rendering emergency auto 
mobile road service to the general public and is intended to be nsed
for dispatching service cars and trucks. Prior to July 1, 1949
authorizations were issued only on an experimental basis. However,
now that the service is on a regular basis, and due to the apparent
widespread need for this type of communication, it is expected that
there will be a substantial expansion.
INTERCITY BUS RADIO SERVICE
Prior to the adoption of the new part 16, eight frequencies were
made available on an experimental basis for the use of intercity
buses. After an examination of the record and of the experience
gathered in the experimental operation, the service was established
on a regular basis July 1, 1949 and 16 frequencies were allocated for
its use.
As the name implies, thiss~rviceis intended for operators of inter 
city buses. Its primary purpose is to furnish communication between
the buses en route and the terminal, thus improving the efficiency of
motorbus operation. In addition, the use of radio provides for im 
mediate communications in emergency situations requiring medical
and other assistance. It also permits prompt reporting of weather
and local road conditions for safety purposes.
HIGHWAY TRUCK RADIO SERVICE
The Highway Truck Radio Service has been established for the pur 
pose of making radio communication systems available to those per 
sons engaged in trucking operations on an intercity basis or in rural
areas where normal wireline facilities are not generallyavailabl~.
Although the proposed rules restricted this service to common carrier
operators traveling on an intercity basis only, the Commission, after
examination of the record and of the needs of the trucking industry,
revised the rules so as to include distributors who operate outside of
metropolitan areas on a route basis.
This service was licensed previously on an experimental basis only
and it is believed that many persons eligible for the service have de 
layed making application for facilities because of the financial risk
involved. However, increased interest is expected now that a regular
service has been established.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 77
URBAN TRANSIT RADIO SERVICE
The Urban Transit Radio Service is intended to be used for improv 
ing the efficiency of street railway systems and city bus lines. This
service was formerly the Transit Utility Radio Service but the name
has been changed in order to more clearly define its scope. The
primary purpose is to furnish communication between supervisors'
cars and repair trucks during periods of emergency occasioned by
power failures, collisions, or break-down of equipment.
S. INDUSTRIAL RADIO SERVICES
During the period covered by this report, extensive rule-making
proceedings were concluded to cover the Industrial Radio Services.
These rules became effective July 1, 1949. They consolidated a num 
ber of services previously administered by the Commission under dif 
ferent sets of rules and, in addition, make radio facilities available on a
regular basis to a number of industries previously unrecognized or
operating only to a limited extent nnder temporary experimental
anthorizations. Among the services superseded in their entirety to
make way for the more all-inclusive new ones were the Geophysical,
Special Press, Intermittent, and Utility Radio Services, all of which
were described in chapter IV of last year's annual report.
Seven new services-Power, Petroleum, Forest Products, Motion
Picture, Relay Press, Low-Power Industrial, and Special Industrial 
make up the new industrial group. In these services, radio is author 
ized in connection with all matters pertaining to safety of personnel
and property, and for operational purposes essential to the conduct of
the licensee's business.
The plan for administration of the industrial group is similar to
that adopted for a number of other business and government groups
using radio. Separate industries are recognized individually by name
for purposes of frequency allocation and determination of eligibility,
but are required to follow licensing and operating procedures common
to the entire group, and to use transmitting equipment which conforms
to common technical standards of performance. In this way the Com 
mission's administrative burden is reduced to a luinhnum while at the
same time a mechanism is established for recognizing specialized spec 
trum requirements of industrial groups.
One of the problems encountered by the Commission, when dealing
directly with thousands of businesses both large and small, is the
education of industry as to the types of communications systems which
are practical within the limits of the frequencies available. To assist
in achieving this educational goal, and to aid it in discharging regula 
tory obligations, the Commission has encouraged the organization of
regional industry advisory committees of engineer employees in the
78 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
principal industries using radio, for the purpose of coordinating the
industry needs at the local level with respect to the selection of satis 
factory frequencies from among those available.
A brief outline of the seven industrial radio services is given in the
following paragraphs: .
POWER RADIO SERVICE
This service concerns radio nse by those public utilities which supply
electricity, gas, water, and steam to the public. These facilities were
formerly provided to a lesser extent in the superseded Utility Radio
Service and before that, although on a very restricted basis, under the
Special Emergency classification of the Public Safety rules.
The most important use of radio by these utilities is generally con 
ceded to be in connection with restoration of service after interruption
due to fire, storm, flood, or other cause, although the principal volume
of messages concerns routine day-to-day maintenance activities which
are not necessarily of an emergency nature.
It is anticipated that the approximate doubling of the number of
frequencies available for public utilities eligible for the Power Radio
Service will provide sufficient spectrum space to permit installation in
most parts of the country of two-way radio equipment on every utili 
ties service truck in operation. These frequencies appear to be ade 
quate to allow coverage of approximately 90 percent of the land area
of the country where electric power, gas, or water supply is available,
although the degree of interference between stations may be consider 
able in some instances.
In connection with development of the microwave part of the radio
spectrum, a number of utilities are being encouraged to experiment
with different types of multi-channel radio links between control cen 
ters and generating plants. When sufficiently reliable equipment is
developed, these circuits will be used for automatic supervisory con 
trol and telemetering functions. Such functions are now accom 
plished by wire circuits which are subject to failure.
There are 4,000 electric utilities, 1,200 gas utilities and 13,000 water
utilities, or a total of 18,200 companies eligible to operate their own
mobile radiocommunication systems in the Power Radio Service.
Members of the industry estimate, however, that not more than 5,000 .
of these companies will in fact install their own systems in the near
future. Itis estimated that the number of utility licensees and trans 
mitters will more than double within the next three years, and that
the greatest density of transmitters, with attendant interference prob 
lems, will be found in the Northeastern States, particularly in New
England.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 79
PETROLEUM RADIO SERVICE
This service is available to all members of the petroleum and natural
gas industries, except persons engaged in retail distribution activities
who are provided for to a limited extent under other rules. The serv 
ice is used by persons employing geophysical methods in their search
for subsurface structures favorable to accumulation of gas and oil;
persons engaged in drilling for, producing, collecting, or refining oil
and gas; and persons engaged in transporting these materials and
their byproducts by means of pipe lines from the sources of supply to
the points of distribution.
Petroleum is usually sought and found in areas remote from existing
communication facilities and where the construction of telephone or
telegraph lines would he impractical. It is necessary that continuous
communications be maintained between the well site, field headquarters,
and mobile units. Because of the extremely hazardous and expensive
type of operation, adequate radio communication facilities are essen 
tial to the successful completion of wells and to limit inherent risks.
In addition to the mentioned normal radiotelephone requirements, the
use of radio telemetering and supervisory control circuits is being
developed experimentally. Many producing areas are accessible with
difficulty under normal conditions and inaccessible during periods of
adverse weather. These locations require constant supervision of
production facilities by the remote control of valves and the telemeter 
ing of pressures and fluid levels which is often possible only through
the medium of radio.
Use of radio by the industry, particularly in the production and
pipe line phases, has been increasing at a very rapid rate during the
past year. It is estimated that less than 20 percent of the ultimate
number of transmitters has been placed in service, and that the num 
ber in service will more than double during the next 2 years.
A particularly acute communications problem now exists in connec 
tion with expanding off-shore exploration and production operations
in the Gulf of Mexico where the use of radio frequencies with long
range propagation characteristics is required. The shortage of suit 
able frequencies is such that no complete solution has as yet been
achieved. The problem has been partially solved by establishment of
the Petroleum Radio Service, but further steps now being considered
are necessary before communication ceases to be a major problem in
speedy and efficient development of our off-shore oil reServes on the
Continental Shelf.
One of the greatest uses for radio communication in the industry
lies in the operation of oil, gas, and refined products pipe lines, which
have become an important link in our Nation's transportation system.
80 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Movement of petroleum and petroleum products, including natural
gas, through a pipe line is controlled by dispatchers using methods sim 
ilar to those used in train dispatching. In addition to radio communi 
cation with roving pipe line repair crews and patroling aircraft, a
new method of pipe line operation designed around microwave radio
technique is heing developed experimentally. Microwaves are ex 
pected to provide voice communication from one end of the pipe line
to the other (in some cases more than 1,000 miles) and would include
intermediate relays, teleprinters, facsimile, supervisory controls, and
the usual multiplicity of circuits necessary for present day operations.
Properly designed directional antennas will minimize the possibility
of interference between pipe lines and to other services. It is not
expected that adoption of microwave technique will be rapid in this
field, because the capital investment will be heavy and equipment is iu
some cases still under development, but pilot installations now under
construction may produce sufficient operating data to invite expansion.
In the majority of cases the microwave facilities would not replace
€xisting equivalent wireline facilities but would provide circuits where
none or inadequate ones existed before. .
FOREST PRODUCTS RADIO SERVICE
The Forest Products Radio Service is designed to place in the
hands of privately owned timber and logging companies radio com 
munication facilities similar to those already in use by Federal and
State governments for purposes of fire detection, prevention, and sup 
pression. Coincidentally, to serve a communications need that has
become increasingly important since the lumber industry started mech 
anizing itself more than a decade ago, these same facilities may be used
in the interest of safer, more efficient, and more economical logging
operations.
The logging industry is believed to have the highest accident rate
of any major industry in the United States, due primarily to the char 
acter of its operations. Radiocornmunication, by speeding assistance
and evacuation when needed, could aid in reducing this accident rate.
Radio is used in connection with actual logging operations, and for
protection of privately operated forests and tree farms.
The Forest Products Service is one of the services established by
the Commission as of July 1, 1949. It is too early to predict the num 
ber of compauies which will eventually take advantage of the facilities
made available, although it is anticipated that all major timber oper 
ators in the country will be using mobile radio communications facili 
ties to some extent within the next few years. There is less certainty
that a large number of the small operators will be able to justify the
cost of extensive radio installations, however desirable such installa-
REPORT OF· THE FEOERAL COMMUNICATIONS COMMISSION 81
tions might he from the conservation and accident prevention view 
points.
RELAY PRESS RADIO SERVICE
There has heen availahle to the newspapers and press associations
of the country for many years the privilege of licensing portable radio
equipment for relaying lle\VS stories from the scene of a news event to
a reporter stationed at the nearest telephone. However, this type of
operation has never proved to be very practical, apparently for the
reason that the special radio equipment was quite expensive and sel"
dom available when needed.
For the past 2 years there has been available to these news-gather 
ing agencies, on a temporary experimental basis, the opportunity of
installing a central station transmitter at the newspaper office and
mobile radio telephone equipment in the automobiles of reporters and
photographers employed by the licensee. The vehicles are then dis 
patched to the scene of news events when required. One of the ad 
vantages of this system is that reporters or photographers can be sent
on a routine assignment with the knowledge that they can be contacted
at any time by radio and directed to the scene of a more important mat 
ter without delay.
The results of experimental operations were recognized as con 
clusive of the need for this type of radiotelephone facility and the
Relay Press Radio Service became a regular service on July 1, 1949.
It is expected that those newspapers operating experimentally will
convert to regular operation and that a large number of newspapers
will establish their own private radiotelephone systems in the interest
of a more rapidly and fully informed American public and, at the
same time, lllOre economical operation.
MOTION PICTURE RADIO SERVICE
The Motion Picture Radio Service is available only to persons
engaged in filming motion pictures for public showing. In the main,
radio is used by motion picture companies only when on location. It
is used to tie parties out on location to the nearest reliable wirecom~
munications facility for purposes of safety and of quick supply, also
during the filming of a picture to coordinate action taking place on
out-door sets. Since it is estimated that motion picture companies
spend as much as $2,000 to $3,000 per hour while on location, exclusive
Qf talent fees, it is apparent that the low-power equipment customar 
ily used for coodination purposes serves a very useful function in
smoothing action, frequently to the point where retakes are unueces 
sary. Owing to the limited number of motion pictures produced
at anyone time, the number of transmitters in service is compara-
82 REPORT OF THE FEDERAL COMMUNICATIONS COMMISS'lON
tively small and is not expected to increase materially. To improve
flexibility of use, the number of frequencies available to the Motion
Picture Radio Service has been increased, but the use of such fre 
quencies is on a shared basis with other industries.
LOW-POWER INDUSTRIAL RADIO SERVICE
This service is available to all the industrial and commercial con 
cerns. Itprovides for operation of any desired number of units which
are restricted to very low power in order to reduce the interference
range and thereby allow large numbers to operate on few frequencies.
Although this service did not become available to business until
July 1, 1949, it bears promise of being one of the fastest growing in
terms of use. It is expected that many thousands of low-power hand 
carried or pack-carried transmitter-receiver units will be placed in
service during the next two or three years. They are expected to be
particularly useful in coordinating all kinds of survey and construc 
tion operations. A number of radio manufacturers have recently
placed appropriate equipment in quantity production.
Although similar equipment may be licensed in other services as
part of a more. extensive mobile radiocommunications system, there
are tens of thousands of businesses throughout the country which are
eligible to hold their own licenses in this service. The distance which
can be covered with the equipment varies from something less than
three blocks to several miles, depending upon the positions of the two
parties with respect to surrounding terrain and other factors.
SPECIAL INDUSTRIAL RADIO SERVICE
This is one of the newly organized services, and is designed to
provide frequencies for a number of miscellaneous industrial activi 
ties which are not specifically provided for elsewhere in the Commis 
sion's rules. The service is available to firms engaged in production,
fabrication, construction, or manufacturing, provided the radio is
used only within the confines of the plant area, or in connection with
construction work of a public character, or in a remote and sparsely
settled region. A modest number of frequencies have been made
available pending further development of the service by its users.
The establishment of the Special Industrial Service has been at 
tended by many problems, some of which are still unresolved. One of
the general problems is how far the Commission should go, in view of
the limited spectrum space, toward allowing all enterprises, what 
ever their character, to license their own private two-way mobile
radio systems. Since common carrier radio service is available in
most metropolitan areas on a subscription basis, it is felt that such
service may provide a partial solution to unsatisfied private communi-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 83
cation system demand. For this reason, the majority of retailing,
servicing, and distributing organizations have been declared ineli 
gible to license their own conventional mobile communications systems.
The Commission will be faced with many border-line cases which
may require some modification of the present rules.
7. INDUSTRIAL, SCIENTIFIC, AND MEDICAL SERVICE
One of the most serious limiting factors in the use of radio trans 
mitting and receiving equipment is the prevalence of electrical inter 
ference tending to prevent the satisfactory reception of transmitted
signals. This interference may be in the form of atmospheric back 
ground noise, or it may appear as a result of spurious and harmonic
emissions from various types of electrical and radio frequency oper 
ated equipment. Among the latter, the Commission has long recog 
nized that certain radiating machines and apparatus not designed for
communication purposes constitute the prime offenders, and often
result in the serious disruption of authorized radio signals. On oc 
casion this equipment has prevented the reception of intelligence vital
to the safety of life and the safeguarding of property.
In order to minimize the actual or potential interference from
special kinds of radiating equipment, the Commission adopted, effec 
tive June 30,1947, part 18 of its rules relating to the Industrial, Scien 
tific, and Medical Service. They are designed to govern the operation
of medical diathermy, industrial heating, and miscellaneous apparatus.
Medical diathermy equipment includes any apparatus (other than
low power intermittent surgical diathermy equipment) which gen 
erates radio frequency energy for therapeutic purposes. Ipdustrial
heating equipment refers to radio frequency apparatus used for heat 
ing operations in a manufacturing or production process. Miscel 
laneous equipment covers apparatus, other than diathermy or indus 
trial heating equipment, in which the action of the energy emitted is
directly upon the workload and does not involve the use of associated
radio receiving equipment.
Part 18 also defines the extent to which harmonic and spurious
radiations must be suppressed and stipulates specific frequency bands
in which such equipment may operate. Subsequent to the adoption
of this part, five additional frequency bands above 40 megacycles have
been made available for this purpose but have not as yet been included
in part 18.
Proceeding under these rules, the Commission has dealt with inter 
ference problems first on a requestCfor-cooperation basis, and later,
in those cases where cooperation was not satisfactorily accomplished,
by the use of enforcement provisions available to the Commission. In
the administration of part 18, the Commission has been guided by a
84 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
desire to provide interference-free communications, and, on the other
hand, to permit necessary nse of medical diathermy, industrial heating,
and miscellaneous equipment. In connection with older types of
equipment, it has disseminated advice and suggestions regarding the
possibility of modifying and shielding such equipment So that com 
pliance might be secured. In the main, the Commission's efforts have
been well received, and most cases arising in this connection have been
settled to the satisfaction of all parties concerned.
With the spreading use of television over the past year, and the
increased congestion in the spectrum, it is anticipated that a cor 
respondingly greater number of these cases will be encountered. As
of this time, an apparently satisfactory procedure has been set up
regarding the processing of complaints of interference to radio and
television reception; however, the future may present difficult situa 
tions capable of resolution only by the use of stronger measures
available under the act.
In addition to its regulatory duties, the Commission has held con 
fm'ences with representatives of industries engaged in the manufac 
ture, sale or distribution of equipment regulated by part 18, On
the whole, these conferences have resulted in a better understanding
of the problems facing the Commission with regard to interference,
and have engendered an increased desire on the part of manufacturers
to produce equipment less likely to create the spurious and harmonic
emissions. Pursuant to those sections of the rules providing that
equipment manufactured by industry may be tested and "type ap 
proved" by the Commission's laboratory, approval certificates have
been issued covering 44 machines and equipment found to be in
compliance with the technical standards.
No amendments or changes of significance in part 18 have been
proposed or adopted during the year. However, through rule-mak 
ing procedure, the Commission has issued orders successively post 
poning the effective date of rules concerning radio-frequency operated
welding equipment until January 30, 1950. An industry-wide group,
with the cooperation of the Commission, has striven to eliminate inter 
ference resulting from the operation of such welders, and vacuum 
type oscillator equipment has been developed to comply with the
applicable rules. Two of these vacuum-type machines have been type
approved under regulations governing miscellaneous equipment.
8. EXPERIMENTAL RADIO SERVICES
The Communications Act requires the Commission to "study new
uses for radio, provide for experimental uses of frequencies, and
generally encourage the larger and more effective use of radio in the
public interest." Pursuant to this provision, rules governing the
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 85
Experimental Radio Services have been adopted, and licensing pro 
cedures established.
Designed to foster all types of experimentation in and relating to
the radio art, part 5 of the rules became effective October 1, 1939,
and has been modified from time to time as the exigencies of the
experimental service have required. At the present time) class 1,
class 2, and class 3 experimental radio stations provide the means for
futhering any program of radio experimentation now licensed by the
Commission. Of these categories, class 1 stations are for the use of
persons or organizations desiring to pursue fundamental scientific
research in the radio art; class 2 stations are directed toward the
development of a new radio service or the expansion of an established
service; class 3 stations may be authorized for the use of a citizen
interested in conducting an experimental progranl on his own behalf
for a limited time.
In addition to the above broad categories, two new subclasses of
experimental stations have been established by part 2 of the rules.
These classes covering the testing of equipment manufactured for
export to a foreign country or for use by the United States Govern 
ment. The former is classified as an "export," and the latter as a
Hcontract" type of experimental station. Details covering these two
types of stations are expected to be incorporated in part 5.
Most class 1 experimental stations are presently operated by equip 
ment manufacturers and research and developmental organizations.
Their experimentations illvolve not only the development of new uses
of electronics but also the improvement of existing equipnlent. Con 
siderable research was done during the past year on the development
of equipment to operate on closer channel spacing to permit more
efficient use of the radio spectrum. Other activities include improve 
ment of equipment to diminish spurious and harmonic emissions,
thereby reducing interference among the various radiocommunication
systems; development of accurate radiolocation systems, for use in
locating oil deposits; projects involving microwaves to further point 
to-point communications, and aids to navigation involving l'adar and
racon beacons. Another project involved the use of radio reflections
in connection with meteor observations to determine their orbit of
travel when penetrating the earth's atmosphere.
The Commission keeps abreast of the result of such authorized ex 
perimentation by means of conferences with licensees and through the
examination of progress reports which they are required to submit.
Numerous requests are being- received from various institutions and
maunfacturers for permission to t.rain operators and technicians in the
operation and maintenance of radar equipment. Normally the Com 
mission does not license radio stations for training purposes only be-
86 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
cause, in most iustances, adequate training can be given with dummy
apparatus without the radiation of radio-frequency energy. However,
adequate radar instructions cannot usually be obtained by such means
and, accordingly, the Commission has authorized many schools, co.l 
leges, and manufacturers to USe radar for training purposes.
In the past, specific frequencies above 25 megacycles were available
for assignment to class 1 stations. As of February 1, 1949, these fre 
quencies were no longer specifically allocated for class 1 experimental
stations. In lieu thereof, part 2 of the rules provides for the use of
frequencies iu various bands throughout the spectrum, subject to the
conditiou that interference is not caused to the service or stations to
which these frequencies are regularly assigned. Under this new plan
the Commission may not be able to assign specific frequencies to eX 
perimental stations for general use throughout the United States as
has been the practice in the past, but may limit the use of a given fre 
quency to a designated geographical area. Specific frequencies below
25 megacycles allocated for class 1 stations and listed in part 5 of the
rules are not affected by this change.
Numerous class 1 authorizations have been issued to manufacturers
and sales engineers for field intensity or coverage surveys in areas
where radio communications are proposed. Results of such surveys
provide valuable information for choosing the proper operating fre 
quencies, power, emission, and antenna location for best performance.
Applications for class 2 experimental stations usually involve pro 
posals for the establishment of new services which are not provided for
in the regnlar service or are directed toward the development of some
phase of an established service. The number of class 2 licensees has
diminished in view of the new services which have been established on
a regular basis. These include part of the Land Transportation and
the Industrial services.
Because of the limited type of experimentation permitted by class 3
stations, the Commission receives few requests for such operations.
Most types of experimentation permitted under the class 3 experi 
mental rules may also be conducted under a class 1 authorization or
under the Commission's rules governing the Amateur Radio Service.
Steps and studies looking toward a needed revision of part 5 have
been initiated in the last year. Itis expected that the additional neceS 
sary rule-making procedure will be completed in the coming year.
9. LOW-POWER RADIO DEVICES
Recognizing the necessity for establishing a minimum field strength
fignre, below which it would not require the use of radio frequency
emissions to be licensed, the Commission in 1938 undertook studies re 
sulting in the subsequent adoption of the so-called low-power rnles,
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 87
presently sections 15.1 to 15.4 of the regulations. These rules provide
that radio transmitters and other radiating devices, operating with a
power below the standard set by these low-power rules, need not be
licensed by the Commission.
Pursuant to the provisions of these sections, considerable use has
been made of the spectrum, and particularly that portion now occupied
by the AM broadcast band, by low-power transmitting apparatus os 
tensibly designed to fall within the minimum field strength standards
set out in part 15. TIlustrative of these uses are college campus low 
powered broadcast stations, employing"carriercurrent" or space radia 
tion techniques for the propagation of programs essentially broadcast
in nature, industrial signalling and communication devices using ca.r 
riel' current techniques and employed for electrical power switching,
warning, or voice transmissions; also, space radiating devices such as
radio-operated baby mindel's, garage door openers, model aeroplane
control devices, etc.
The simplicity of operating radio transmitting devices without a
license or code test from the Commission has proved of interest to
many persons. As a result, the Commission has received considerable
correspondence regarding low-power equipment purportedly operating
nnder part 15. In large measure, however, equipment intended to
operate under these rules has proved incapable of compliance with
. the maximum field strength permitted. College broadcasting, in par 
ticular, has grown to such proportions that a careful examination of
the problems created by such operation is required.
Accordingly, a notice of proposed rule making has been published,
and comments invited regarding suggested amendments to part 15.
"While the Commission is cooperating with indnstry and users in an
effort to seCure all available information and data regardingthe various
types of low-power equipments and systems presently in operation, it
is apparent that before a solution to the ramified low-power problem
can be found, further intensive study by all interested groups will
be required.
10. STATISTICS
AUTHORIZATIONS
Authorizations in the safety and special radio services (exclusive of
amateurs, citizens and special aircraft operator authorizations, which
are treated in a separate chapter) exceeded 61,000 at the close of the
year. This is an increase of nearly 14,000 since the previous report.
Figures for different classes of these nonbroadcast services are shown
in the following table:
859490-150---7
88 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
I""
1949 Increase
17,736 23,72.1 5,987
3,122 3,504 382
20,858 27,227 6,369
13,720 18, 14{) 4,420
148 136 (-12)
277 3U2 25
412 48U 68
.67
, 946
479
1.5,024 20,004 4,980
4,137 4,759 622
85 IN 39
461 665
1U'
126 165 39
94 87 (-7)-
4,003 5,700 797
1,656 2,7I2 1,056
412 8U2 390
32 144 112
755 '608 (-147)'
2,855 4,266 1,411
20'
334 130
77 80 3
N • 30
•
2,817 3,144 327
3,122 3,5S8
'66
827 455 (-72)
77 46 (-31)
00'
501 ( 103)
47,300 61,286 13,920
TotaL _
TotaL ••__ •• _••_•••• •__.~•I~~~;;;~I~~~~,;",I~~~,;;,;.
Orand totaL._4 _
TotaL.I~~~;;;;;;"I~~~;;;;;;,I~~~~;;;,
Experimental:
Experimental.. _
Miscellaneous _
Land transportation:
Railroad _
Transit utility _
Buses, trucks, autoemergency _
Taxicabs _
TotaL. •I~~",,;;;;;+~~~~,,+=~~~
Industrial:
.Power _
Petroleulll. ._. _
Forest products _
Other---------------------I---:--:c"C+---:=+--'':--:~
TotaL • _
Aeronautical:
AircrafL~_
Ground .
I Includes 863 ship radar.
I Includes 571 special industrial, 19 relay press, 15 motion picture, and 3 low-power industrial.
I Includes 20 buses, 8 trucks, and 2 auto emergency.
The foregoing statistics do not include associated mobile units.
Mobile transmitters for the calendar year 1948 exceeded 200,000 in
the following categories:
Tolal 201,212
66S
68
929
72,483
1,850'
1,047
27,774
74,649·
Total _
Railroad _
Trmlllit utilit;y _
IndustriaL _
Experimental _
Aeronautical 24,695
Afarine 17,414
Police_______________________ 43,314
Fire 2,524
Forestry 7,128
Highway maintenance________ 381
Special emergency 436
Class 2 experimental stations include taxicabs, buses, and trucks
which, on January 1, 1949, numbered more than 72,000:
Taxicabs 46,085 Trucks and buses _
Limited common carrier______ 8,441 IndustriaL _
Miscellaneous common carrier_ 1,370 Other _
Common carrier highway 5,480 ----
Common carrier urban_______ 9,442
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 89
APPLICATIONS
More than 52,000 applications were received during the year in the
safety and special services previously mentioned. This was within
5,000 of the previous year's figure. Including applications pending
at the close of fiscal 1948, the number disposed of in 1949 exceeded
53,000 as compared with about 35,500 disposed of in 1948. A com 
parison of such applications for the past 2 years follows:
1948 1949
Increase or
decrease
19,021 13,524 (-5,497)
3,303 4,300 997
22,324 17,824 (-4,500'
14,183 15,249 1, DO!);
154 297 143
492 487 (-5)'
684 599 (-85)'
S12 11,111 299
16,325 17,74.3 1,418:
5,9Il 4,609 (-1,302)
182 254
72
727 611 (-lI6)
147 243 96
58 I
110 02'
i,025.~,827 (-1,198)!
2,389 3, W7 778-
394 1,166 772
8!! 269 181
1,463 11,249 (~214)'
4,334 5,851 1,517
296 401 105
173 60 (-113)-
57 209 152
5,425 3,667 (-1, iSS)
5,951 4,337 (-1,614)'
947 849 (-98);
279 105 (-174)'
1,226 954 (-272)
07,185
52,
536
1
(-4,649)-
Class of station
Industrial:
Power . _
PetroleUlll. _
Forest produets . _
Other • _
TotaL • _
Land Transportation:
Railroad __ . . _
Transit utility __ . _
Buses, trucks, alltoemergeney _
Taxicab .
I---''--''-I--'--''--I---'--.::-.='..
Total__ • •• __ •I~~~;,;;"'"I~~~;;;;+~~~;;,;;
Experimental:
Experimental. _
MisceU1\neous._____ __. • _
1---1----'1----'---'
TotaL •I~~~~"'"I~~'='~+~~~;;;
Grand totaL_
Aeron?lltieal:
Aircraft , .
Ground _
1Includes 966 ship radar.
I Includes 40 relay press, 30 motion picture, 50 lOW-Power industrial, and 1,129 special industrial •.
[ Page 90 in the original document is .intentionally blank ]
CHAPTER V. COMMON CARRIERS
I. COMMON CARRIER REGULATION
2. TELEPHONE (WIRE AND RADIO)
3. TELEGRAPH (WIRE, CABLE, AND RADIO)
4. STATISTICS
I. COMMON CARRIER REGULATION
The Commission regulates interstate and foreign communication by
telephone and telegraph, whether by wire or radio. Communication
which is purely intrastate in character is not, in general, subject to
Commission jurisdiction.
Provisions of the Communications Act affecting common carriers
reflect congressional policy that the public interest in adequate public
communications services and reasonable rates is to be protected and
promoted by Federal regulation.
Among the regulatory provisions of the act is the requirement that
every suhject common carrier furnish service at reasonable charges
upon reasonahle request. No carrier may construct or acquire inter 
state facilities, or curtail or discontinue service, without Commission
approval. All charges, practices, classifications, and regulations in
connection with interstate and foreigu communication service must
be just and reasonable and nondiscriminatory. To implement this
requirement, the common carriers concerned file tariff schedules with
the Commission, and those schedules are subject to review and regula 
tion by the Commission.
The Commission regulates rates for interstate telephone and tele 
graph services, as well as rates for service between the United States
and foreign points. At the same time, it reviews the adequacy and
quality of these services.
To aid its regulation of rates and services, the Commission is em 
powered to prescribe the forms of records and accounts kept by the
carriers. Under this authority, it has established uniform systems
of accounts for them to follow. Commission regulation in this respect
includes the establishment and maintenance of original cost ac 
counting, continuing property records, pension cost records, and
depreciation records.
91
92 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The Commission regulates the interlocking of officers and directors
of common carriers, it being unlawful for any person to hold office
in more than one carrier unless specifically authorized by the Com 
mission. The latter also passes upon applications of domestic tele 
phone and telegraph carriers for authority to merge or consolidate.
The Commission licenses the operation of common carrier radio
stations under provisions of the act which require the licensing of all
radio transmitters.
The Commission receives all applications to land or operate sub 
marine cables connecting the United States with other countries, and
advises the President with respect to the granting of such licenses,
afterreceiving the approval of the Secretary of State.
2. TELEPHONE (WIRE AND RADIO)
GENERAL
The telephone industry continued the unprecedented expansion it
has experienced the past several years. The addition of facilities
at an average rate of more than 3 million dollars a day mentioned in
last year's report continued at about the same rate in 1949. Despite
this growth, the Bell system alone, which has about 82 percent of
the total telephones in service, had unfilled orders for slightly over 1
million telephones on June 30, 1949, compared with unfilled orders
for the entire industry of 1y" million telephones a year earlier. Over
39 million telephones were in service in this country, representing an
increase of about 3 million in the past year. The plant investment
Df the Bell system as of June 1949 amounted to over 9 billion dollars
'While that of the telephone industry as a whole was estimated to be
caround 10 billion dollars.
The volume of telephone business kept pace with the growth of
facilities and ran about 10 percent ahead of last year. The Bell sys 
tem handled about 40y" billion exchange conversations and nearly
2 billion toll conversations during the year. The volume of calls
reached a new high of 177 million a day.
Similar expansion continued in related telephone services. Reve 
nues for teletypewriter exchange service and private line service of
the Bell system, the principal activities other than message telephone
service, likewise ran more than 10 percent ahead of last year and at
the rate of roughly 80 million dollars annually. Television program
transmission service, which was established on a commercial basis
effective May 1, 1948, produced revenues at a rate approaching zy"
million dollars a year and present indications are that the full demand
for facilities to carry television programs will not be met for several
years.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 93
DOMESTIC TELEPHONE SERVICES
Construction of wire facilities.-The telephone industry requested
Commission authority to construct $38,638,919 in interstate wire and
cable facilities. A number of the construction projects authorized in
fiscal years 1947 and 1948 were still under construction during 1949.
In addition to the wire construction, the Bell system has been author 
lzed to provide a large number of intercity communication channels
by microwave radio relay construction. There Were 24 applications
carried over from the preceding year and 318 applications received
during the year requesting authority to construct, acquire, extend and
lease wire facilities. The Commission approved 333 of these, in 
cluding 313 for construction, and permitted withdrawal of three.
The American Telephone & Telegraph Co. and certain associated
companies filed a blanket application covering most of the Long Lines
Department's construction to be undertaken during the calendar year
1949, which amounted to $10,730,000. The following table sets forth
the amount of wire and cable construction authorized by the Com 
mission during the past 6 years:
Fiscal year Projects
1944••._~.• ._. _ 121
1945. . .__________ __ 210
1946 __ • . ._, 239
1947 ••~••__ .____ 289
1948__ • _ _ 348
1949••~~~~• __~313
Cost
$9,582,239
70,0111,240
78,896,450
126,325,771
127,162,499
38,638,919
Sheath
miles of
cable
574.8
2,378.3
3,193.8
5, 587. 7
2,637.5
1,370.5
Tub!)
miles of
coaxial
units
o
7,9D2
16,580
23,490
46,080
1,323
Conduc 
tor miles
of open
wire
7,968
2, ""
12,261
15,976
16,373
7,278
About 1,800,000 toll message circuit miles were added during the
1949 fiscal year to the nell system facilities, an increase of 10.8 percent
<lver circuit mileage in service at the beginning of the year. As during
recent years, about 90 percent of the channels added were provided by
carrier systems. The Bell system requested authority to use only
about 15,000 channel miles of emergency Type EB carrier systems as
compared to 155,000 requested during fiscal 1948.
Planned wire projects.-The American Telephone & Telegraph Co.'s
program, which called for a total of 12,000 miles of coaxial cables to be
constructed by 1950, has been modified due to the planned installation
of microwave radio relay systems between various cities. The Bell
system applied for only 331 miles of coaxial cable to he constructed
·during the past fiscal year at an estimated cost of $9,643,000. Thus,
the Commission has authorized a total of 8,028 miles of coaxial cables.
Coaxial facilities, as well as microwave relay systems, are designed to
transmit television programs and other communication services.
94 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Television program netW01'k8.-The Bell system was granted author 
ity to construct five additional television circuits on its coaxial cables,
one channel between New York and Washington, two channels between
New York and Philadelphia, and two channels between Philadelphia
and Chicago. The A. T. & T. received authority to construct four
additional coaxial cable television circuits-three channels between
New York and Albany, and one channel between St. Louis and Mem 
phis. Additional television terminals will be installed: four trans 
mitting and two receiving at New York, one transmitting and two
·receiving at Philadelphia, one receiving at Baltimore, one trans 
mitting and one receiving at Washington, two receiving each at Lan 
caster, Pittsburgh, Cleveland, and Toledo; three receiving and two
transmitting at Dayton, two receiving at Erie, two transmitting and
three receiving at Albany, and two receiving at Memphis.
On January 11, 1949, the New York-Boston-Washington-Richmond
coaxial television network was interconnected with the midwestern net 
work comprising Buffalo, Cleveland, Toledo, Detroit, Milwaukee,
Chicago, and St. Louis.
Microwave relay systems.-Toward the end of the fiscal year, the
A. T. & T. applied for six new microwave intercity relay systems to be
constructed between Albany and Syracuse, Los Angeles and San
Francisco, Richmond and Norfolk, Madison and Milwankee, Pitts 
burgh and Chicago, and Chicago and Des Moines. The latter two
systems are westward links in the microwave chain originating in New
York City which is planned eventually to reach the west coast. These
microwave systems will carry television programs besides providing
communications channels for other telephone services. The A. T.
& T.'s New York to Boston microwave system was in regular service
throughout the year carrying television programs and, when necessary
to accommodate traffic volume, was used also for long distance tele 
phone service.
Speed of8ervice.-The average time required to complete a toll board
call on the Bell system was 1.7 minutes during June 1949 as compared
with 2.1 minutes in June 1948. This improvement results from the
increase in number of toll channels, toll board facilities, more efficient
personnel and toll line dialing by the operators. The Bell system ob 
jective was an average speed of service of 2 minutes, but with toll
line dialing it is expected that the average speed will be reduced to
about 1 minute.
Telephone service.-The telephone companies have continued the
rapid conversion from manual to dial operations of their exchanges
throughout the country. In addition, a toll dialing network has been
established centering on the toll crossbar offices in New York, Chicago
and Cleveland. It includes many places not previously arranged for
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 95
toll dialing and also ties together the small, isolated dialing networks
already operating in several states. Toll operators in this network
now can dial numbers in nearly 500 communities faster and more
accurately than before, and without the assistance of operators in the
distant city or at intermediate offices. Also, an increasing number of
cities now have equipment by which the customer can dial calls to near 
by cities, in the same manner as be dials local calls.
Oable landing Iwen8e8.-The Commission received one request and
had two reqnests on hand for a Presidential license for cable landing
operations. Authority to construct a second submarine cable con 
taining 30 pairs of conductors at Point Roberts, Wash., was signed by
the President on November 22, 1948 upon recommendation of the
Commission. Requests for authority to construct a telephone line
across tlle Rio Grande River near Presidio, Tex., and to land and
operate two additional submarine cables at Key West, Fla., were
pending at the end of the fiscal year.
Discontinuance, reduction or impairment of service.-The Commis 
sion received 16 applications for authority to discontinue telephone
service and had 4 such applications on hand at the beginning of the
year, making a total of 20. It granted 17 applications and 2 others
were withdrawn. Fourteen of these applications were filed by the
Western Union Telegraph Co. to discontinue telephone service to cities
connected to its long distance telephone facilities, one of which was
withdrawn. There were few subscribers, if any, to Western Union's
telephone service in each city involved in the authorized discontinu 
ance, and in each case the telephone companies were providing adequate
service. Five applications were filed by telephone companies to dis 
continue exchange or toll service in cases where another carrier planned
to provide the same service. One of these applications was withdrawn.
A joint application was filed by Western Union, to discontinue its
public message toll, private line, and program telephone service; by
the American Telephone & Telegraph Co. and certain Ben system
companies, for authority to acquire the telephone business and certain
telephone property of Western Union located in 30 States; and by
the Pacific Telephone & Telegraph Co. and the Bell Telephone Co.
of Nevada, for anthority to discontinue all message telegraph service
rendered by them in California, Oregon, Washington, Idaho, and
Nevada. Hearing upon this joint application was scheduled for Octo 
ber 4, 1949.
By a public notice dated June 1, 1949, the Commission invited in 
terested persons to submit comments and proposals by July 18, 1949
on the matter of whether the Commission should promulgate rules
governing the protection of employees who are adversely affected by
discontinuances, reductions, or impairment of telephone or telegraph
96 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
service which are authorized under section 214 of the Communica 
tions Act.
Rural telephone se1'Vice.-More than 330,000 Bell telephones were
installed in rural areas during fiscal 1949. The total number of rural
telephones connected to the Bell system as of June 30, 1949 was approxi 
mately 2,400,000, excluding rural telephones taken over into the base
rate areas.
New developments include the "transitor," which replaces th"
vacuum tube in a number of cases. It is so simple, so tiny and so
economical in using electrical energy that it is being tested for many
uses in the telephone industry. The "Alpeth" cable, which employs
a thin layer of aluminum covered with a layer of polyethylene plastic,
is replacing the lead covered type of cable. Western Electric will soon
start producing a new handset telephone having improved hearing and
speaking qualities, an easier to read dial, and a bell that the customer
can adjust for volume. The Type N1 carrier system for cable, de 
veloped by the Bell Telephone laboratories, is being tested in general
service. This carrier system will play an important part in economi 
cally providing facilities in a range of distances as low as 15 or 20'
miles, which is not now practical with types of cable carrier systems
in use. The N1 system will provide 12 telephone channels and wilt
operate on a four-wire basis over two pairs in a single cable. It is
expected to be generally available by 1951. A new electron tube has
been developed which will improve the microwave radio relay system
and will increase the carrying capacity for speech and television chan 
nels. Synthetic quartz crystals are being used in place of the natural
quartz, which have been limited, thus increasing the number of carrier
systems available for communication service.
Foreign attachment case8.-A complaint of Hush-A-Phone Corp.
et al. v. American Telephone &, Telegraph 00. et al. (Docket 9189)
attacks as unlawful the so-called foreign attachment provisions in the
defendants' tariffs insofar as such tariffs are construed by the tele 
phone companies to prohibit the subscriber's use of Hush-A-Phon"
devices in interstate and foreign telephone service. Hearing on the
complaint was scheduled for August 23, 1949.
Complaint of Walter S. Berl,man et al. v. American Telephone &,
Telegraph 00. et al. (Docket 9100) requested the Commission to re 
quire the defendant telephone companies to furnish a call waiting
indicator device which would provide a visual or other signal when
a subscriber's telephone is in use to indicate that another call was com 
ing in on the line at the same time. The complainants' request for a
hearing was denied, and the complaint dismissed March 23, 1949. A
petition for rehearing and reconsideration was pending at the close 
of the fiscal year.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 97
jJfobile radiotelephone service.-Common carrier mobile radiotele 
phone service, whereby communication service for hire is provided pri 
marily between fixed points and mobile units on land, continued its tre 
mendous expansion as an experimental service. Service furnished by
the telephone companies, between mobile telephones and the regular
land-line telephone systems, was added in 39 cities, making a total of
146 cities so served. Likewise, the competitive mobile radiotelephone
service furnished by nontelephone company carriers, which affords a
telephone service between mobile units and radio terminals but does
not connect with the land-line telephone systems, was being furnished
in 64 cities and applications have been approved to provide such service
in 58 additional cities.
In some major cities the demands for this service continued to ex 
ceed the capacities of the available facilities and the carriers reported
large backlogs of unfilled orders for mobile telephone service. More 
over, in areas such as New York and Los Angeles, where several mis 
cellaneous or nontelephone company carriers are providing a general
mobile radiotelephone service on the same pair of frequencies, the prob 
lem of frequency interference developed into acute proportions. How 
ever, the Commission is endeavoring to effect a solution to these prob 
lems, as described elsewhere in this report.
The most significant development in the general mobile radio service
during the year was the adoption by the Commission of its report and
order in Dockets 8658 et aI., dated April 27, 1949, establishing, effec 
tive July 1, 1949, rules for the Domestic Public Land Mobile Services.
The new rules establish the common carrier general mobile radio serv 
ice on a regular basis. Theil' promulgation represented the culmina 
tion of an extended rule-making process which included extensive oral
argument October 6 to 15, 1948. The Commission received over 200
written comments on the rule-proposals, some 135 persons presented
oral urgument, und the transcript of the proceeding uggreguted 1,913
pages.
It is expected that the new rules will have the effect of stabilizing
operations and encouraging long-runge planning. They recognize
two general categories of licensees: (1) the conventional telephone
compuny, and (2) the miscelluneous, or nontelephone compnny cur 
riers. The new table of frequency allocations provides these common
currier services with 24 frequencies in the 30--44 megacycle range and
20 in the 150-162 megucycle range.
The Commission also approved a rule which provides that new sub 
scribers to public mobile radiotelephone services shall be furnished
service in accordance with designated categories of priority. This is
intended to achieve a result whereby essential users will be able to ob-
98 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
tain service in preference to nonessential users, thus assuring that this
valuable radio facility will be used in the public interest.
With a view to the possibility of making further provision for the
expansion of this service, the Commission will consider, in the pro 
ceedings havingto do with the establishment of UHF television (Dock 
ets 8976 et al.), the question as to whether an allocation of 30 mega 
cycles of frequency space can and should be made between 470 and 500
megacycles in order to provide for the development of a wide-band
multichannel system of operation. Such a development,.if achieved,
mightbe capable of providing an adequate general mobile radio service
for the foreseeable future.
Provision has been made for the operation of the "telecar" service,
as developed experimentally in Baltimore by Western Union. Four
frequencies in the 35-44 megacycle band are allocated for this service,
which involves the pickup and delivery of telegraph messages through
the use of cars equipped with facsimile equipment, by means of which
the messages are transmitted to and received from the central office.
Ship and aircraft service.-A new coastal harbor radiotelephone
station was established at Jacksonville, Fla., on January 17, 1949,
by Southern Bell Telephone and Telegraph Company, in order to give
more adequate service to vessels in the coastal area between Charles 
ton, S. C., and Miami, Fla. Charges for message toll telephone serv 
ice between land points and vessels or aircraft via the new station are
the same as via other coastal harbor stations of the Bell system.
The number of aircraft affording public radiotelephone and tele 
graph service to passengers aboard such craft through coastal sta 
tions continued to increase.
Short distance radiotelephone service.-The use of very high fre 
quency radio for telephone service, particularly in inaccessible areas
where wire line costs would be prohibitive, continued to attract the
interest of rural telephone users. The operations are presently con 
ducted experimentally, but rules to place this service on a regular
basis were in preparation.
Ooa8tal and Alaskan 8ervice.-Coastal harbor, coastal telephone, and
Alaskan radio communications, though largely authorized on a com 
mon carrier basis, are discussed in "Safety and Special Services" be 
cause of their close relationship to radio aids to the safety of life and
property.
INTERNATIONAL TELEPHONE SERVICE
Me88age toll telephone 8ervice.-Message toll telephone service was
reestablished with 4 countries where it had been suspended during
the war and made available with 3 other countries for the first time.
At the close of the fiscal year radiotelephone message toll service was
in effect with 81 foreign countries outside North America. Of this
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 99
number 53 had direct circuits. Negotiations were continning toward
reestablishment of service with points formerly served, as well as
with new points. The rates for service established during the year
are in conformity with the rate pattern outlined in the Commission's
Twelfth Annual Report. The volume of message traffic with over 
seas points amounted to about 580,000 calls in 1948, a slight increase
over the previous year. Private line service is available to 7 foreign
countries. Overseas program transmission service is furnished by
the Bell companies to 56 foreign countries.
RATES AND TARIFFS
Rate schedules.-At the close of the year 183 telephone carriers had
tariffs and concurrences on file with the Commission. During the year
they filed a total of 19,204 tariff publications establishing or changing
rates, regulations, practices, and classifications of service, including
concurrences. The number of carriers subject to the Commission's
tariff regulations fluctuates, principally as a result of smaller car 
riers changing their operating arrangements by either adding or sell 
ing interstate facilities. Each tariff pUblication is processed by the
staff to determine whether its provisions comply with the Communi 
cations Act and with tbe rules established by the Commission.
Special perm1'ssions.-Twenty-seven applications for special per 
mission to make changes in the tariffs, or to file new tariffs to become
effective on less than statutory notice, or involving waiver of certain
rule requirements, were received during the year. Of these, 26 were
granted and 1 was retired to the files without action at the applicant's
request.
Unlawful Wle of telephone fadlities.-The Commission received
requests from certain State regulatory authorities to investigate the
extent to which interstate and foreign communication facilities are
being used for purposes that are in violation of State laws, with a
view to prohibiting such use insofar as interstate and foreign com 
munications are concerned. The Commissiol1 has not demued an in 
vestigation necessary in view of the fact that tariff regulations of
Western Union already on file with the Commission and applicable
to leased wire services appear to provide an effective means whereby
State law enforcement authorities can bring about discontinuance of
telegraph service to persons using such services for illegal purposes.
Although the Bell system companies had not filed specific tariff regu 
lations on the subject, it was understood that, as a matter of policy,
the companies had instructed their personnel not to furnish interstate
and foreign communication serviee to persons using the same for un 
lawful purposes. By letter dated January 6, 1949, the Commission
requested the Bell companies to file appropriate tariff regulations
100 RBPORT OF THB FBDBRAL COMMUNICATIONS COMMISSION
with the Commission which would reflect the policies and practices
of these companies concerning this matter insofar as interstate and
foreign communieation service is involved.
Such provisions were filed by most of the companies to become
effective during the latter part of the fiscal year. In general, the
tariffs provide that telephone service will be furnished subject to the
condition that it will not be used for an unlawful purpose and, fur 
ther, will not be furnished if any law enforcement agency acting
within its jurisdiction advises the company that such service is being
or will be used in violation of law. These provisions are similar to
those incorporated in the telegraph company tariffs.
Ohannels for TV program transm488ion.-The Fourteenth Annual
Report of the Commission referred to the events leading up to the
. investigation and hearing, instituted by the Commission on April 28,
1948 (Docket 8963) into the rates, regulations, practices, and services
of A. T. & T. and 'Western Union in connection with the furnishing
of intercity channels and facilities for the transmission of network
television programs. One of the principal issues involved is the
reasonableness of the restrictions adopted by the A. T. & T. regarding
interconnection of its facilities with those of others. Hearings on
this issue were held in the spring, fall, and winter of 1948, and decision
was pending, with hearings on the remaining issues to be held, in the
future.
Studies of Long Lines Department operations.-The Commission
instituted a series of studies directed toward the development of a
comprehensive report on the results of operations of the Long Lines
Department of the American Telephone & Telegraph Co. These
studies will cover all phases of the company's operations, including
analyses of its plant investment, revenue and expense accounts, and
will provide the Commission with a more adeqnate basis for determi 
nation of matters involving the earnings or revenue requirements of
Long Lines.
Separation of property, revenues and e",penses.-In cooperation
with State regulatory commissions, the Commission continued its
studies of the procedures used by the Bell system companies to sepa 
rate telephone plant investment, expenses and revenues among ex 
change, intrastate toll, and interstate toll telephone services for rate 
making purposes. (See Fourteenth Annual Report.) Methods and
procedures for telephone separations have been the subject of formal
proceedings before the Commission (Docket 6328), but decision will
be withheld until additional experience has been gained in the use of
these separation procedures. During the past year, studies of the
division of revenues and application of the separation procedures
have been made on a general basis for the industry, and specific de-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 101
tailed studies of certain companies are in progress. In connection
with the study of operating results of the Long Lines Department of
A. T. & '1'., special attention is being given to the effects of the sepa 
ration procedures upon the level of Long Lines earnings. The im 
portance of this matter and the amount of work involved in these
studies may be gauged by the fact that the entire industry investment
of an estimated 10 billion dollars is subject to these apportionments,
of which over 1.7 billion dollars is apportioned to interstate service,
Jlnd approximately 600 million dollars annual revenues are derived
from interstate services.
Western Electric costs and prices review.-It was noted in the Com 
mission's Fourteenth Annual Report that the 'Western Electric Co.,
Inc., which serves as the manufacturing and supply department of
the Bell system, furnishes nearly all of the telephone equipment, ma 
terials, and supplies to the Bell operating companies, and that the
level of prices charged by Western Electric has a considerable impact
on Bell telephone exchange, intrastate, and interstate toll rates. This
impact has been intensified by the volume of Western Electric sales to
Bell companies running at about a billion dollars a year since 1946,
resulting from the very heavy construction program undertaken dur 
ing the postwar years. A cooperative committee consisting of staff
members of this Commission and State commissions, appointed Jauu 
ary 1948, continued its studies of the operations of IVestern Electric.
Particular attention is being given by the Commission to 'Western
Electric's sales of equipment and services to the Long Lines Depart 
ment of A. T. & T. as part of the aforementioned study of Long Lines
operating results. It is significant that since the initiation of these
studies, Western effected a net reduction in its prices amounting to
about 77 million dollars and reduced on an annual basis its pension
expeuses by approximately 3 million dollars.
State telephone rate eases.-A large number of requests were re 
ceived from State regulatory commissions as well as some municipali 
ties for assistance in connection with intrastate telephone rate cases.
Assistance was rendered, to the extent possible, and consistent with
available staff personnel and budget, on problems of common concern
to this Commission and state jurisdictions. In general, this assistance
consisted of furnishing information with respect to such matters as
depreciation rates and charges, pension accrual rates and costs, pro 
cedures concerning the separation of telephone plant, revenues and
expenses between exchange, State, and intrastate services and license
service fees paid by Bell companies to the parent company. In sev 
eral cases, comprehensive studies were conducted in cooperation with
state commissions and testimony presented by Commission staff mem-
102 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
bers concerning depreciation rates, pension costs, and license service
fees.
Depreciation.-Depreciation expense is second only to salaries and
wages in operating costs of telephone companies. Depreciation
charges for 53 large domestic telephone carriers reporting to the Com 
mission amounted to $307,755,000 for the 12 months ending April 30,
1949, an increase of $46,470,000 or 18 percent over charges for the
previous 12-month period.
While the major part of this increase is directly attributable to the
vast expausion in telephone plant at current high-cost levels, some
contribntion also results from the npward trend in annual deprecia 
tion rates for certain classes of telephone plant. This is due largely
to the fact that, in efforts to reduce the hacklog of unfilled orders for
telephone service, the industry in many instances expanded existing
facilities of old types pending the availability of modern and more
adequate equipment. This is particularly true where mannal switch 
board installations are expanded pending conversion to dial operation.
In fact, in many instances the depreciation rate proposed for manual
central office equipment is found to he entirely responsible for the
over-all increase in depreciation charges. Accordingly, arrangements
have been made whereby telephone companies will file with the Com 
mission annual data designed to facilitate effective regulation of
depreciation rates for manual installations during the period of con 
version to dial. Data so filed will be stndied in the light of the com 
panies' plant replacement and construction programs.
Investigation of depreciation rates and practices and studies con 
cerning the reasonableness of proposed changes in rates were con 
dnued. Some of these investigations involved field studies at the
locations of the companies' properties. Based on stndies completed,
the Commission, pnrsuant to the provisions of section 220 (b) of the
Communications Act, prescribed depreciation rates for the Michigan
Bell Telephone Co. and for each of the operating areas (nine States)
served by the Southern Bell Telephone & Telegraph Co. The pre 
scribed rates produced total depreciation charges abont 10 percent
below the charges resulting from the rates previously in use or pro 
posed by the telephone companies. Looking toward fixing deprecia 
tion rates for other Bell companies, studies with respect to several
companies are in progress. In general, these stndies are conducted in
cooperation with State regulatory commissions.
Allocation of depreciation reserves of rnrultistate company.-From
time to time State pnblic utility regulatory and tax anthorities re 
quest Commission assistance in connection with determining the de 
preciation reserves applicable to individnal States in the case of
mnlti-State telephone companies. At the request of the Southeastern
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 103
Association of Railroad and Utilities Commissioners, representing
the States served by Southern Bell Telephone & Telegraph Co., joint
studies undertaken in 1948 and nearing completion at the end of fiscal
1949, will provide data on the service life expectancies and salvage
recoveries for the various classes of plant which are necessary for
allocating the company's depreciation reserve to the various States
on an equitable basis. It is planned that a report setting forth
details of the study and results of the allocation will be prepared
during fiscal 1950.
Toll rate study.-Widening disparities between the rates for inter 
state toll message service and the rates for comparable intrastate serv 
ice have resulted from postwar increases in intrastate toll rates. The
Commission and cooperating State commissions have undertaken a
comprehensive study of the telephone toll rate structure. The study
is designed to develop complete data on all technical and economic
phases of both intrastate and interstatetoll services.
OTHER REGULATORY MATTERS
Unifol'm systems of {l()counts.-The Commission's uniform systems
of accounts for telephone companies (part 31 for class A and class
B telephone companies and part 33 for class C telephone companies,
of the rules and regulations) were revised and reissued during the
year. The revised issues included all separately adopted amend 
ments since the last previous issues-August 1, 1946, and January 1,
1939, respectively-with appendices which set forth the several ac 
counting interpretations adopted by the Commission. Studies are
being continued on matters directly related to the uniform systems
of accounts, including determinations of noncompliance by carriers,
coordination of the regnlations with requirements of the industry and
other regulatory authorities, preparation of necessary changes in the
regulations and interpretations of the regulations.
Financing and refinancing.-Issuance of new securities by tele 
phone companies continued in substantial volume, although some 
what less than the previous year and a definite downward trend was
noted during the first five months of the current calendar year. In
addition to collaborating with the Securities and Exchange Commis 
sion by examining prospectuses-filed with that Commission in the
light of accounting and financial data on file with this Commission,
other related matters of accounting were the subject of further study
afterthe securities were authorized for issuance.
Pensions and relief.-Because of increases in the number of em 
ployees, raises in wages, aud liberalization of benefits, the relief and
pension costs of telephone carriers continued upward, reaching ap 
proximately 130 million dollars during the calendar year 1948 for the
859490--50-----8
104 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Bell system alone, not including s06al security taxes amounting ap 
proximately to an additional 25 mj]]ion dollars. Problems of pension
accounting, therefore, continue to be of great significance, particular 
ly in regard to the reasonableness of costs, the methods of determirnng
the costs, and the accounting for these costs. During the past fiscal
year an extensive analysis of the Bell system's actuarial methods was
completed and studies were made with respect to the pension accrual
rates and resulting charges to operating expenses of both Bell and in 
dependent companies. In these studies attention was also directed to
the extent to which current payments into pension funds relate to past
service of employees. Many inquiries rclative to these pension prob 
lems were received from State commissions and laborgroups.
Preservation of records.-A proposed complete revision of the Com 
mission's rules for the preservation of records by telephone carriers,
required in the exercise of regulatory functions, embra6ng modern 
ized techniques such as microfilming, indexing for ready reference,
and prescribing periods of retention based upon stndies of the usage
of records, is being developed. It has occasioned studies of appropri 
ate descriptions and periods of retention of more than 600 individual
items. Advice was sought and received from the Bureau of the
Budget, the National Archives, the Bureau of Standards, manufac 
turers of microfilm and equipment, and the State commissions, as
well as the several Federal regulatory agencies having similar
problems.
New types of plant and services.-The development of new types of
plant and services such as microwave radio relay systems, telephone
recording devices, mobile radiotelephone services, and others hereto 
fore mentioned, require studies to determine the adequacy of the rec 
ords and accounts maintained by the carriers with respect to such
plant and services. During the year the Bell system instituted pro 
cedures and opened subaccounts to provide the information, with re 
spect to such activities, required for the Commission's regulatory
functions.
Restatement of plant accounts on basis of original cost.-The Bell
system companies have substantially completed, and the Commission
has analyzed and approved with certain qualifications, restatements
of Bell plant accounts on the basis of original cost with respect to those
acquisitions of plant made since 1913 where the consideration was
more than $25,000. During fiscal 1949 a comprehensive analysis was
made of reductions in the net book cost through charges to income
or surplus, by telephone companies. including independents. The ag 
gregate of these charges since the effective date of the present systems
of accounts approximates 43 million dollars. This figure includes
certain amounts, not previously mentioned in prior reports, which
came to light as a result of the recent analysis. There are pending
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 105
several cases where adjustments have not been made because past
accounting is in controversy. Current acquisitions continued to be
dealt with in accordance with the provisions of the uniform system
of accounts..
Continuing property record".-Cooperative activity with State
regulatory authorities and representatives of the telephone industry
continued, with the objective of providing regulations that facilitate
the refinement and clarification of continuing property record pro 
cedures and to enable the achievement of uniformity throughout the
industry in the form and usage of basic record data underlying the
continuing property records. Field studies by the Bell companies
of a proposed new method for determining average unit costs for re 
tirement purposes were discontinued after somewhat less than 2 years'
duration when results revealed that little significant economy or
material improvement in accuracy over metllods previously used would
be gained. The committee of State and Federal representatives that
had been formed to evaluate, in cooperation with industry represent 
atives, the field studies referred to, continued to function by con 
sidering proposals to revise the Commission's rules relating to this
matter. A detailed study of the continuing property records of one
large telephone company was completed during the year and general
studies of continuing property records of other companies were carried
forward. Efforts were continued to obtain full compliance of in 
dependent telephone companies with the continuing property record
regulations.
3. TELEGRAPH (WIRE, CABLE, AND RADIO)
DOMESTIC SERVICE AND FACIlJTIES
W e8tern Union modernization program.-Substantial progress was
made during the year by the Western Union Telegraph Co. in its 72
million dollar mechanization program. The principal essential of
the plan is the substitution of about 140 manual relay locations with
15 high-speed reperforator-switching relay centers. Seven of these
were completed and apply the principle of selective through-switching
techniques for automatically and rapidly advancing telegrams from
the originating office to a distant city without intermediate attention
by personnel. The number of reperforator-switching centers in opera 
tion was 14. Upon the completion of changes in traffic patterns in 
volved in this highly integrated system, it is expected that the speed
and quality of telegraph service will improve.
,Vestern Union is continuing the development of the facsimile proc 
es. for terminal handlings of telegrams. One type of instrument is
the "Desk-Fax", which is placed on the customer's desk for the trans 
mission of messages in picture form between the customer and the
company's office. Nearly 2,000 of these were being installed in 8
106 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
cities. Another type called "Telefax", designed primarily for hotels,
ollice bnildings, and apartment houses, was in experimental service at
two Washington hotels.
Oonstruction of wire facilities.-The year brought 52 requests cover 
ing wire telegraph construction and extensions. Four such applica 
tions were carried over from the preceding year, making a total to
be accounted for of 56. Fifty-four applications were granted. They
covered the construction of 41,926 telegraph channel miles at a cost of
$372,600 and the lease of 2,988,550 telegraph channel miles at an annual
rental of $2,966,505, and terminal equipment costing $11,446,240.
Speed of service.-The origin to destination speed of service (the
interval from the time a message is filed to the time it is delivered, or
first attempt) during the year averaged 41 minutes where delivery
was effected by telephone, 39 minutes in the case of delivery by cus 
tomer teleprinter tieline, and 47 minutes for delivery by messenger.
The time required to relay messages through the 25 largest 'Western
Union ollices ranged from 14.1 to 9.9 minutes-the average being 11¥Z
minutes, Or 1 minute slower than in the preceding 12-month period.
Microwave relay systems.-vVestern Union continued its experi 
mental use of the microwave radio triangle connecting New York,
Washington, and Pittsburgh. All three legs of the triangle were in
limited teleg-raph service carrying traffic formerly routed over wire-line
facilities. The microwave circuits continue to prove satisfactory from
a technical standpoint and appear to offer advantages from the opera 
ting, maintenance, and economic standpoints, particularly on circuits
carrying heavy trallic volumes.
During the year vVestern Union established a microwave circuit for
transmitting television programs between New York and Philadelphia.
The circuit was not used commercially because interconnection with
telephone company facilities at New York and Philadelphia was not
permitted by the Bell system, and it was, therefore, impossible for
vVestern Union to supply network service to TV broadcasters. The
interconnection problem is involved in the proceedings in Docket 8963
which is discussed in connection with Domestic Telephone Service 
Rates and Tariffs.
Discontinuarwe or reduction of telegraph service.-During the year,
942 applications for reduction in business hours, or closure of public
telegraph ollices, were filed. In addition, 227 applications were pend 
ing at the beginning of the year. Most of these requests were made
by Western Union. The Commission acted favorably on 928 requests
and denied 3. Twenty-four were withdrawn and 214 were pending
at the year's close. In most cases where hours were reduced or offices
closed, alternate service was made available_
In connection with applications filed by common carriers for au 
thority under section 214 of the Communications Act to discontinue,
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 107
reduce, or impair telephone or telegraph service, the Commission is
considering whether it should adopt rules and regulations relating to
the protection of employees who may be adversely affected by curtail 
ment of service. (See Domestic Telephone Service-Discontinuance,
etc., of Service.)
The Pacific Telephone & Telegraph Co. and Bell Telephone Co.
of Nevada requested authority to discontinue all message telegraph
service rendered by them in the States of California, Oregon, Wash 
ington' Idaho, and Nevada. This application is joined with an
application of 1Vestern Union to discontinue its telephone service, and
an application of certain Bell system companies to acquire Western
Union's telephone business and certain telephone property. (See
lJomestic Telephone Service-Discontinuance, etc., of Service.)
On May 16, 1949, the Commission terminated the proceeding in
Docket 7982, in which an investigation was conducted in the early
part of 1947 of the over-all plans, policies, and standards of Western
Union with respect to the discontinuance, reduction, or impairment
of telegraph service. The purpose of the proceeding was accom 
plished in enabling the Commission to obtain certain information
material to the performance of its duties under section 214 of the
'Communications Act with respect to service curtaihnent applications
filed by Western Union.
The Commission, on April 20, 1949, adopted a proposed report in
Docket 8088 proposing to grant Western Union's application to close
a branch office in Dallas, Tex.
Following informal proceedings, referred to in the Fourteenth
Annual Report, to determine the maximum size of Western Union's
company-operated telegraph offices which, under normal circum 
stances, might be considered for conversion to teleprinter agency
offices operated by persons engaged in nontelegraphic business, the
Commission approved the standard that conversion to agencies of
offices whose daily average traffic volume exceeds 46 messages is con 
sidered justified only by evidence of exceptional circumstances, but
that this does not mean the Commissiou will necessarily authorize
any proposed conversion to agency operation where traffic volume is
less than the suggested traffic maximum. The applicant will be ex 
pected to make a satisfactory showing in each instance that, under the
proposed agency operation, adequate telegraph service will be avail 
able to the particular community.
INTERNATIONAL TELEGRAPH SERVICE
Oirauits.-Direct radiotelegraph communication was established
between the United States and four countrie&-Saudi Arabia, Paki 
stan, Union of South Africa, and Formosa. Circuits via the Tangier,
North Africa, relay stations of RCA Communications, Inc., and
108 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Mackay Radio & Telegraph Co., Inc., were established to Pakistan
and Saudi Arabia by those companies respectively, as well as to six
other countries previously served by direct operations only.
Due to the current unsettled conditions in China, communication
with Nanking, the former Nationalist capital,was discontinued by
United States carriers. However, communication with Shanghai con 
tinued. To insure continuation of service to those areas of China
remaining under Nationalist control, United States radiotelegraph
carriers were authorized to communicate with Canton, Chungking, and
Taipeh, Formosa. Direct circuits to Brazzaville, French Equatorial
Africa, and to Tananarive, Madagascar, were closed at the request
of the French Administration of Posts, Telephones, and Telegraphs,
which indicated a desire to return to the prewar practice of handling
all communications to its outlying territories and possessions through
Paris.
A total of 69 foreign countries and United States territorial posses 
sions are now served by radiotelegraph circuits from the United States
and most other points in the world are served through connections
with the facilities of foreign carriers. Program material originat 
ing with the United Nations and the Department of State is being
transmitted by United Sates radiotelegraph carriers to approximately
30 countries throughout the world.
Frequ£ncie8.-AII but three of the frequencies relinquished hy li 
censees in the fixed public service for use by the military during the
war have now been returned to that service and, in addition, many
new frequency assignments were made during the year. New fre 
quency assignments are being registered with the Berne Bureau. The
present crowded condition of the radio frequency spectrum makes it
necessary for the majority of new assignments to be on a shared
basis. Effective May 1, 1949, call letters assigned to all frequencies
below 30 megacycles in the fixed public services were changed to con 
form with the call letter assignment plan agreed to at the 1947 Inter 
national Telecommunications Conference.
Interference.-Fiity-eight cases of interference involving licensees
in the fixed public services were handled during the year. Causes of
interference included spurious emissions, long distance transmission
of frequencies in the VHF range (30 to 300 megacycles), and cases
involving sharing of frequencies in the HF range (3 to 30 megacycles).
Interference complaints were expeditiously handled and relieved as
soon as possible.
Equipment.-Modernization and expansion of the transmitting
plants of major carriers continued with the addition of a total of 20
new transmitters and the deletion of 11 transmitters in the radiotele 
graph services. In the new transmitters, emphasis is placed on im-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 109
proved frequency stability, capability of operation on higher
frequencies, and ease of change from one frequency to another.
International conferences.-The Commission was represented on the
United States Delegation to the International Telegraph Regulations
Revision Committee, which met at Geneva in January 1949, to con 
sider what changes would have to be made in the International Tele 
graph Regulations to make them acceptable to countries, like the
United States, which were not signatory to those regulations. The
Commission, with Chairman Coy as chairman of the United States
delegation, was also represented at the Administrative Telephone and
Telegraph Conference which opened at Paris in May 1949. The
United States participated actively in the telegraph aspects of the
conference to the end that regulations might be developed to which
it could become a party. (It also participated in the telephone dis 
cussions. However, it had advised the conference at an early stage
that the United States did not intend to sign the International Tele 
phone Regulations.) The United States delegation advanced various
proposals for amendment of the existing telegraph regulations. These
included proposals looking to the unification of rates for ordinary
telegrams composed of plain language, cipher language, code language,
or any mixture thereof; elimination of the deferred classification of
telegrams; admission of secret language into telegrams in the letter
classification; elimination of special reduced government rates; vari 
ous changes in operating procedures and practices; and related matters.
In preparation for the Paris conference, the Commission held
lengthy hearings (Docket 9094) to obtain the views of interested per 
sons, including international telegraph carriers, telegraph users, and
government agencies, as to the proposals to be submitted. The Com 
mission thereafter issued a proposed report, heard oral argument
thereon, and then issued a final report which contained the mOre im 
portant proposals which were submitted by the United States Govern 
ment to the Paris Conference for Revision of the International Tele 
graph Regulations. The Commission, in cooperation with the
Department of State, also held several informal meetings with repre 
sentatives of the carriers, users, and other government agencies to
study and consider detailed proposals for revision of the International
Telegraph Regulations other than those involved in Docket 9094.
Docket coses.-Two proceedings involving possible violations of
provisions of the Communications Act were instituted during the year.
One of these, Docket 9093, was an investigation to determine whether
the common ownership and consolidated operations of cable and radio
facilities by the American Cable and Radio Corporation system, in 
cluding All America Cables and Radio, Inc., The Commercial Cable
Co. and Mackay Radio & Telegraph Co., were in violation of sec-
110 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
tion 314 of the Communications Act. The other proceeding, Docket
9188, was to determine the facts and circumstances surrounding the
installation and operation of two transmitters by Mackay Radio &
Telegraph Co. prior to the receipt of authorization therefor from the
Commission, and to determine, further, whether such transmitters
should be licensed. Hearings in both of these matters were held in the
fall of 1948, and at the end of the fiscal year were awaiting decision.
On May 4, 1949, the Commission adopted its final report and order
in Docket 7822 in which it denied applications of Press Wireless, Inc.,
for modification of its licenses to permit the handling of traffic in the
Government classification. Press Wireless appealed to the Circuit
Court of Appeals for the District of Columbia.
Action on the application of RCA Communications, Inc., for a
duplicate circuit with Israel (Docket 8990), was postponed until fur 
ther order, at the request of the applicant.
RATES AND TARIFFS
Rate schedules.-At the close of the year, 156 domestic aud inter 
national telegraph carriers had tariffs and concurrences on file with
the Commission. During the year they filed 5,931 tariff publications
establishing or changing rates, regulations, practices, and classifica 
tions of services, including concurrences. Numerous irregularities in
the rate schedules were corrected or eliminated through examination
procedures.
Special permis8ion8.-Domestic and international telegraph carriers
filed 151 applications for special permission to make changes in tariffs
or file new tariffs. Of these, 144 were granted, 2 were denied, 2 were
retired to the files at the applicant's request, and three were pending
at the close of the year.
We8tern Union dOm.e8tw rates.-Western Union has conducted
studies and tests to determine the changes necessary in its domestic
telegraph rate structure to eliminate discriminations, particularly
with respect to the relationship between rates and distances. (See
Fourteenth Annual Report.) In December 1948 the Commission re 
quested that Western Union file revised tariff schedules desigued to
eliminate the discriminations in its existing rate structure, the revised
schedules to become effective within 90 days after the elimination or
substantial reduction of the Federal excise tax on domestic telegrams,
or December 31, 1949, whichever date is the earlier. The Commission
is working closely with the company in this matter.
Ohannels/or TV program transmission.-The rates and regulations
of ,:Vestern Union covering the transmission of television programs
over its New York City-Philadelphia microwave radio relay system,
effective May 1, 1948, are, together with rates and regulations of the
Bell system for its intercity television program transmission services,
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 111
the subject of formal investigation and hearing before the Commission
in Docket 8963. (See discussions of Channels for TV Program Trans 
mission, Rates and Tariffs, Telephone.)
Baseball-sports 8ervice by mes8age and direat wire.-On March 1,
1949, Western Union filed revised tariff schedules, effective April 18,
1949, providing for new and revised regulations and charges relating
to furnishing of news reports of baseball and sports events by message
and direct wire to radio broadcasters, newspapers, press associations,
and others. Following complaint by a radio broadcaster concerning
these revisions, the Commission, on its own motion, entered into an
investigation of the matter, including the question of the carrier's
possible violation of its tariff regulations in having permitted unre 
stricted network broadcasting of sports reports, contrary to the pre 
viously effective provisions of its tariffs. Hearings were held in the
spring of 1949, and the matter was pending decision.
United State8-MeOJiean telegraph rates.-In June 1948, the Govern 
ment of Mexico announced a program of nationalization of its inter 
national communication facilities, and canceled the concessions of the
Mexican Telegraph Co., jointly owned by Western Union and All
America Cables & Radio, Inc., on 1 year's notice, effective June 16,
1949. Traffic between the United States and Mexico formerly han 
dled over the Mexican Telegraph Co.'s ocean cables between Galveston
and Mexico is now handled over wire telegraph land lines crossing
the border,-in accordance with a new contract between the Mexican
Government and Western Union. Among other things, the rate zones
in the United States and Mexico have been realigned in relation to
distance and zone boundaries and have been conformed to State
boundaries. Special rates to and from Mexica.n points where the
Mexican Telegraph Co. had offices have been discontinued and regular
zone rates made applicable. All other line charges in both the United
States and Mexico have been eliminated, as has the night message
classification, already discontinued for intra-United States and United
States-Canada traffic. The discount for United States and Mexican
Government traffic, previously applicable to Western Union's portion
of through tolls, has been abolished.
International rate case.-In September 1948 certain of the inter 
national telegraph carriers requested that the Commission reconsider
the rates theretofore authorized in the proceeding in Docket 8230 (see
Fourteenth Annual Report) stating that, despite rate increases author 
ized in 1947 and 1948, their revenues still were inadequate, and that
certain rate increases in addition to those previously authorized were
necessary. The Commission reopened the proceedings and held
further hearings in November 1948. On January 26, 1949, it issued
an interim report in which it found that, on the basis of the record in
the further hearings, only a few of the international telegraph carriers
112 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
were operating at a profit, and that most of them ugently required
additional revenues. To meet this emergency situation, the Commis 
sion, effective February 2, 1949, authorized out-bound increases esti 
mated to produce about $2,542,000 in gross revenues annually.
Increases in in-bound rates to the level of the out-bound rates are
expected to produce about $565,000 additional gross revenue.
In granting the latest increase, it was found necessary to permit
establishment of rates to certain points in the world in excess of the
former maxima of 30 cents per full rate word and 6% cents per
ordinary press word. The authorized rates to most parts of Africa,
Asia, and Oceania now are 40 cents per full rate word and 8% cents per
ordinary press word, and to South America they are 35 cents and 7%
cents, respectively. The ceiling rates of 30 cents per full rate word
and 6% cents per ordinary press word, established with British Com 
monwealth points in the Bermuda Telecommunications Agreement of
December 4, 1945, still were in effect, but a conference with the other
parties to this agreement was to be held iu London during August 1949
to discuss, among other things, the removal of those ceiling limitations.
Multiple addre88 press rates.-As stated in the Fourteenth Annual
Report, the Commission in June 1948 reopened Docket 8230 for inves 
tigation and hearing with respect to charges, regulations, practices,
and services of the three international telegraph carriers (PreBs Wire 
less, Inc., Mackay Radio & Telegraph Co., and RCA Communications,
Inc.) engaged in the rendition of multiple address press service. This
investigation is an outgrowth of the general investigation, in the same
docket, into international telegraph rates. Hearings were held in
November and December 1948 and January 1949. The matter was
awaiting decision.
Distribution ofinternatioruU traffic.-In connection with its author 
ization of the merger of the domestic telegraph carriers in 1943,
the Commission approved a "formula" specifying, generally, the man 
ner in which out-bound unrouted international telegraph traffic should
be distributed by the merged carrier, ·Western Union, among the
United States international telegraph carriers, including 'Vestern
Union's cable system. Since that time many new circuits have been
opened and carriers have reinstituted service to areas which were for 
merly enemy occupied. These factors, in addition to the changing
characteristics of international telegraph traffic, have given rise to
various problems in connection with the aforementioned formula. In
addition, certain of the carriers have alleged that interpretations
given to various clauses of the formula deprive them of traffic to which
they are entitled. Formal complaints were filed by certain of the
international telegraph carriers in connection with operation under
the formula and the entire matter was under consideration by the
Commission.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 113
OTHER REGULATORY MATTERS (DOMESTIC AND INTERNATIONAL)
Depreeiation.-In February 1D48, pursuant to the provisions of sec 
tion 220 (b) of the Communications Act, the Commission prescribed
depreciation rates applicable to the various classes of vVestern Union's
land lines plant. (See Fourteenth Annual Report.) Depreciation
rates for radiotelegraph (ultra-high frequency radio relay) plant,
which was under construction at that time, were not included in this
action. By the end of 1948 investment in radio relay facilities had
reached sufficient proportions so that in April 1D49 the Commission
fixed depreciation rates for these new types of plant. In connection
with the modernization program, vVestern Union is retiring much of
its plant before normal life expectancy and is amortizing these invest 
ments not fully provided for by normal depreciation accruals. The
Commission is maintaining a continuing review of this program and
is receiving semiannual reports from the company.
In connection with Commission proceedings involving rates and
charges for telegraph service between the United States and overseas
and foreign points (Docket 8230), it Was found desirable to determine
the reasonableness of annual depreciation rates and charges, as well
as the recorded depreciation re-serves of the international telegraph
carriers. To this end a comprehensive study was undertaken relative
to one large carrier and similar studies are contemplated with respect
to the "ther international carriers.
eontinuing p"operoty roeeorod8.-The verification of the form and
contents of continuing property records and the evaluation of the
effectiveness of continuing property records procedures of radiotele 
graph, wire-telegraph and ocean-cable carriers continued. During
the year a list of retirement units for wire telegraph and ocean cable
carriers was prepared for adoption by the Commission and progress
was made on a similar list for radiotelegraph carriers. The three car 
riers that had not completely fulfilled the requirement to establish
and maintain continuing property records at the beginning of fiscal
1949 still have not attained this objective because of extenuating cir 
cumstances although progress has been made.
Pemiom and roelief.-The Commission continued its general studies
of the carriers' pension arrangements. Several changes in pension
plans that were introduced during the year were analyzed in detail,
particularly to determine their effect upon operating expenses.
Uniform SY8tem ofaecount8.-Fart 35, Uniform System of Accounts
for vVire-telegraph and Ocean-cable Carriers, of the Commission's
Rules and Regulations, was amended during the year to conform the
accounts with simplified reporting requirements concerning main 
tenance expenses. Conferences were also held with the carriers with
a view to modernizing the prescribed accounting for revenues. At the
end of the year rule-making procedures were in process which, upon
114 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
adoption by the Commission, will provide uniform accounting and
reporting treatment of revenues of the wire, cable, and radio carriers.
Prese'l'Vation of records.-The development of revised rules for the
preservation of the carriers' records that are required in the exercise
of regulatory functions was in advanced stages at the close of the
fiscal year. These rules enumerate over 500 items specific to the tele 
graph industry and fix the retention periodstherefor.
ReelMsifieation of WesteTn Union plant aeeounts.-The matter of
the reclassification of the plant accounts of 'Western Union was con 
tinued into fiscal year 1949, and completed to conform to the currently
effective requirements of the uniform system of accounts, except for
minor adjustments which may be necessary with respect to certain
plants located in foreign countries.
New types of plant and serviees.-The development of microwave
circuits in the domestic telegraph field, and new types of switching
equipment, occasioned the need for studies to determine the adequacy
·of the accounts and records maintained by the carriers with respect to
such plant and service, as well as the adequacy of the Commission's
effective rules. In the international telegraph field the institution of
new services such as the program transmission service also developed
the need for studies to determine the adequacy of the present rules of
the Commission.
4. STATISTICS
TELEPHONE CARRIERS
Annual reports were filed by 132 common carriers and 27 controlling
companies for the calendar year 1948. Of these, 106 were from tele 
phone carriers. Financial and operating data relating to telephone
carriers for the calendar year 1948, as compared with 1947, are shown
in the following table:
Item
Investment in plant and equipment (as of December 31) _
Depreciation and amortization reserves . _
Net investment in plant and equipmeuL _
Local service revenues _
Toll service revenues. . _
Total operating revenues 1 _
Operating expenses ' _
Taxes _
Net operating income a.fter all taxes _
Net lnoome . • . _
Dividends declared • _
Company telephones:
Buslness • • _
Residential__ * _
Average number of calls originating per month:
Local 2 _
Toll 1 ._.~_
Number of employees at end of Oetober • _
Male _
Female~_
Total pay roll for the year _ _
1947 11148
Percent
increase
$7,788,102,429 $9, 108, 408, 570 16.95
$2, 513, 997, 977 $2, 665, 101, 862 6.01
$5. 274, 1M, 452 $6, 443, 306, 708 22.17
$1,354,984, 904 $1,598,952, 274 18.01
$908, 363, 760 $1,061,661,716 16.88
$2,398,317,527 $2, 820, 088, 5'17 17.59
$1,935,995,020 $2, 235, 184,804 15.45
$260,829,709 $310,718,568 19.13
$201,492, 613 $274, 186, 145 36.08
$110,271,710 $228, 596, 769 34.26
$203,519,238 $218, 806, 027 7.51
10,301,919 11,146,019 8.19
20,499,920 22, 609, 910 10.29
4,390,078,430 4,835,601,447 10.15
180,202, 249 182,460,596 1.26
556,889 585,702 5.17
183,686 198,841 8.25
373,203 386, 861 3.66
$1,435,902,570 $1,667,054,353 16.10
I Interc')mpany general service and license fees l\lld rents, amounting to approximately $45,000,000 for 1948
and $41,000,000 for 1947, have not been eliminated.
.2 Partly estimated by reporting carriers.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 115
LAND LINE TELEGRAPH
Annual financial and operating reports were received from 26
wire-telegraph, ocean-cable and radiotelegraph carriers for the cal 
endar year 1948. Statistical data compiled from the reports of ',,"est 
ern Union for the calendar year 1948, as compared with 1947, are
given in the following table. The figures pertain to the land line op 
erations of that carrier; data concerning its cable operations are in 
cluded in another table relating to ocean-cable carriers:
The Western Union Telegraph, 00.
1
Item
InvMtment in plant and equipment (as of Dec. 31) _
Depreciation and amortization re&:ll'V6S __ • • . __
Net investment in plant and equipment.. _
Transmission revenues~• • _
Total operatingre\,l;'nues_~. _
Operating expfmses, depreciation, and other operating reve--
nue deductions . • , , _
Ne·t operating revenueso _, _' _, _. _. _. _
Net income • _
Dividends declared . 0 • ._. __ • __ • _
Revenue messages handled_.~. . . _
Number of employees at end of October
o
¥ • _
Total pay roll for the year.•_•._•._.~¥._,= __
Percent In.
''''
1948 crease or
(decrease)
$314,275,030 $310,295,071 (1.27)
$142, 6&1-, 1)&5 $136,267,016 (4.48)
$171,610,945 $114,028,056 1.41
.$183,834,397 $165,595,812 (9.112)
$199,654, 193 $183,429,431 (8.13)
$185,313,959 $185,362,154 .ro
$14,340, 234 J $1, 932. 723 (lIS. 48)
$905,970 $1,264,578 39.58
---i220~iM;OOO-
$1,228,428
·----(io:io)
1 197,915,842
5i~,57248,987 (8.60)
$138,976,008 $140, llOO, 964 1.39
~~~~~~ntsdata for land line operations. Figures covering cable are included in another table.
1 Includes domestic haUl of cable and radio messages (9,85,1,556 in 1947 and 8,896,985 in hU8).
RADIOTELEGRAPH AND OCEAN·CABLE CARRIERS
Financial and operating data compiled from the annual reports
of radiotelegraph and cable carriers engaged in international traffic
for the calendar year 1948, as compared with 1947, are set forth in
the accompanying two tables:
Radiotelegraph carriers
Item 1947 1948
Percentin 
crease or
(decrease)
Investment in phmt and equipment (as of Dec. 31) __
Depn:ciation and amortization reserves __ . __ ..._~
Net Investment in plant and equipmenL . __
Message and QtbflJ" transmission revenues . .~
Total operating revenues ,, ,
Operating expenses, depreciation, and other operating
rCvflnue deductions_. .. .. . __
Net operating revenues .. . _
Income taxes . . . . _
Net income . __ . .. .. _
Dividends declared. _. __ , .. . _
Revenue messages handled:}
Domestic-service classificntion 1 • • • __ ,
Foreign-service classlticaUon' .. ..._. . __
Marine_. , , . __ .. ._
Number Qf employees at end of October,
Total pay roll for thc year. ,~.
$36,6H,331~7,3fj9,829
'.06
$17,828,421 $17,472,888 (1. 99)
$18,785,910 $19,8%,941 5.91
$2Q, 582, 509 $21, 186,729 ,...
$21,741,440 $22,423,542 3.14
$23,611,828 $23, 009, 343 (2.55)
1 $1,870,388 J $585, 801
137'-91l"$262.494 $024,709
1 $1, 573, 781 2$45.1, 748
--"'{OO'-OO)
$0,000 $2,000
63,558 59,998
1
5
.
60
)
11,204, 102 10,148,439 9.42)
857,030 905,332 5.64
1i,261
" 782
(7.65)
$19,368,981 $18. 452, 422 (4.73
1 Deficit.
J Excludes domestic haul of foreign, Insular, and marine messages to avoid duplicatiQns.
I International messages (primarily Canadian and Mexican) transmitted ill accordance with carriers'
rules gov(lrning domestic tmffic are included under Domestic Service Classification. Insular messages are
fncluded under Foreign Servioo Classification.
116 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Ocean cable carriers
[Including cable operations or The Western Union Telegraph Co.l
Item
Investment in plant and equipment (as of Dec. 30 _
Depreciation lIud amortization reserves_ . _
Net Investment In plant and equipment•. __ _ _
Transmission revenues:
Domestic service classificatioIl. . _
Foreigns(~rviccclassification _
Total oPerating revenues . .0
Operating exp(;uses, depreciation, and other operating
revenue deductions.. . _
Net operating revenues . _
Income taxes... _ _
Net income. _. _
Dividends declared _
Revenue messall.'es handled:
Domestic service ciassification~_
Foreign serviceclassjfl.cation_~__ • _
Number ofemnloyee~l\t end of October. _
Total pay roll for the ye:lr__~. _
Percent
1947 1948 increase or
(decrease)
$96,061,600 $98.2.56,204 2.28
$61, 522, 573 $64,614,3:3,1 .'i. 03
$34,539,077 $33,641,871 (2.60)
$812,228 $608,6114 (25.06)
$20,755,4n3 $20,896,317 .68
$23,772,389 $23, 856, 903 .36
$24, :167, 552 $23,024,9\1.1 (1l.47)
1 $:\85, 1(;.1 $831,9lD
(30.04)$301,933 $211,219
1$1,141,3M 1$:,24, 288
-----(4S.-Sl)
$1,381,005 $706,936
66.1, 491 5.'15,089 (19.35)
11,511,512 10,468,017 (9.06)
6,241 5,973 (4,39)
$14,309,1119 $13,265,006 (7.30)
I Deficit.
INTERNATIONAL TELEGRAPH TRAFFIC
Reports relating to international traffic filed by cable and radio 
telegraph carriers show that an aggregate of 562,118,333 paid words
were handled during the calendar year 1948. The out-bound traffic
amounted to 282,327,827 words, and in-bound 279,790,506 words. A
break-down of the traffic with the principal countries is shown in the
following table:
International telegraph (radio and cable) traffic, 19-48
Numher ot words Number ot words
Country Out-bound
froln tIle
United
Stalks
In-bound
to the
United
StI~t('s
Country Out-bound
from the
United
States
Inbound
to the
United
States
3, 2"ffi, 027
6,!'3(42:\
5,746,695
6,288,50.5
1,000,319
3,105,5i7
7, 9S.'"I, 950
5,7(,3,(:..'lt
6,831,567
734,5SI
JO,007,IR7 9,702,062
11, fj29, 818 12-,732,549
?, 889, 793 2, 1}.,50, 143
6,842,081 9,38.~,917
:',280,2:'3 2,555,6:'5
4,945,7fl3 4,027,336
1,068, Rfl.'I !lI5,776
8, .'!SO, 91r, 11,4:~2,527
1,214,6.55 1. 450, 223
1,422,1:24 &17,89~
1,2,52,66.'; 1,257,933
2,073,456 2,187,925
1,0:'5,6R9 1,228,122
2,214, 244 1, 909, 303
1,953.6.36 1,620,773
3, 256, s..'U 3,OtO,O)H
I, 7a3. 731 1, :104, 290
7,054,2I17,!Xl3,31O
4,820,521 3,931,573
--~------
7f>, r,35. 440 !l(l, 297, 220
=i==
West Indi(>s, Central,
North, and South
AnwriCfl:
Argentina _
Brazil. _
Rritbh West Indies__
C!lnad!L _
Ohile • _
Colombifl . __
Costa Rica ».__
Ctlbu . _
Dominican Rcpublic_
Ecnador _
Ouatemalfl _
Mf'xico ._ ._, .
N r,thcrJallds West In-
dies, . "
Panama __ . . _
P(~ru. . _
Puerto Ric(L _
Urugu.ay_
V/,-nezlleln _
Ail other couIltrieS__
TotaL_. _
Asia and O('('ania:
Ansirnlifl ._ •.. __ ,
chinfl 1
ITawaiL . _
India . _
Illdonesia . __ "_
1,&11,081
5,525, 101 I
1,1."[,1,41>7
1,625,969
2,206,424
14,196,304
8,818,384
2,9;14,375
1,12.'1,2.59
2,I,{2,834
7,721,:1+4
1,0111,276
6,321, 705
2,117,1'\46
I, IZ\l, 225
711. US6
1,3",6,252
2,462,.193
3,526,016
6,748,81.5
970,898
4,403, l\H
3,830,006 Ii
54, 22(;, 7341
1, Hi5, 75.1
!l,025,612
1, 50t" 9U3
1\,070,402
1, 3il7, 585
1,912,4U9
2,429,144
lR, 293, 256
5,939.901
2,667,885
1,067,946
1,456,787
9,629,766
1,108,845
7,061,184
2,830,7:37
1, 1.':i3, 340
1,033,9lJ2
2.096,570
3, 434, !Wl
4,048,263
8,726, tHO
I, :no, 6lD
4,464,087
7,286,653
52,005,747
1,474, '074.
9,070,171
Tot.'l-L __ • 159,448,576 148,865,060,
~,~~,:~~=~I
Europe, Africa, and the
Near East:
Austria __
Belgiurn_. _
CzechGskwakil.\.__
DenOlark_
EgypL __
France_
Oermany _
Greece_. _
Iran _
IsnloCl. _
Italy__ . __
:Morocco _
Netherlands. .
Norway. __'_
Palestine _
Poland
Portugal. _
Spain_ . _
Swedeu _
Switzerland
Turkey . _
Union of South Africa
U, S. S. R
UI~i~edKingdom and
F,m'! _
Yn~0Shvia_
All other cQuntries__
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 117
International telegraph (radio and cable) traffic, 1948-Continued
Xumber of words Number of wordsSS
Country Out-bound In-bound Country Out-bound Ill-bound
from the to tho from the to the
United United United United
States States States States
Asia and Oceania-Con. Unknown destination or
Japan.._. _____ • _____ •
3, 9ZS, 640 S,448,088
origin________
"-------_.
1, !'i52, :.:13 2,640,480
KOloa _____
477,289 1,254,522
1\lalay States::::==::: 1,003,965 1,611,402
Orand totaL _______
282,327,827 279, 790, 006
Philippines___________
8,548,245 10,502,45.1
All other countries._._ 5, H4, 1.53 6,019,712
TotaL.•____________
44,691,598 47,987,74.6
COMMON CARRIER RADIO STATIONS
Authorized radio stations in the common carrier services now ex 
ceed 1,000, not counting associated mobile units. Figures for base
stations for the past two fiscal years follow:
ClallS of station
Fixed public telepbone _
Fixed public telcgrapb , _
General mobile (experimcntal)__________________ ___
Other e:rpt;'j"imentnL~_
Tottl.L..~•• ••~• • _
1948 1949 Increase
Zl
'"
(~l)
56 57 1
785 795 10
128 174
"
996 1,052
'"
COMMON CARRIER APPLICATIONS
The Commission received nearly 3,200 common carrier applica 
tions of all types and disposed of nearly 3,300, which included some
that were pending at the start of the year. Here is a summary:
Class of station
Fixed public telephone _
Fixed public tclegrnph _
General mobile (experimental) • _
Other experimentaL _
Wire service exwnsious__ • _
'Vire service reductions , _
TotaL .. • • _
Pending Received Disposed Pending
July 1, 1948 1949 1949 June3U, 1949'
13 194 100 67
66 400 407 ,.
160 830
'44
46
21 298
"'7
'2
'"
376 389 12
238 1,067 1,147 158
''''
3,16.5 3,294 394
[ Page 118 in the original document is intentionally blank J
CHAPTER VI. RADIO OPERATORS
1. GENERAu
2. COMMERCIAL RADIO OPERATORS
3. SPECIAL AIRCRAFT RADIOTELEPHONE AUTHORIZATIONS
4. AMATEUR RADIO SERVICE
5. CITIZENS I: ADIO SERVICE
6. STATISTICS
1. GENERAL
This separate chapter is devoted to all those who personally operate
radio transmitters-the professionally paid radio operator, the ama 
teur, the civilian flyer who uses radiotelephone in his plane, and the
ordinary citizen who finds radio convenient to his every day activities.
The 645,000 operators and private stations authorized in these cate 
gories constitute the largest group with which the Commission has to
deal. More than 61,000 new authorizations were issued during the
year, typifying the growing interest in radio for individual use. The
opening of the Citizens Radio Service is expected to add greatly to
these figures.
The administrative problems involved in the regulation of radio
operators are unique in the number of persons directly affected and
the amount of paper work entailed. The latter is not limited to ap 
plications received and granted but covers a huge volume of individual
correspondence of a type not common to any of the other services.
The law requires the Commission to approve operators of radio
transmitting apparatus as well as stations as such. Under the Com 
munications Act, the Commission prescribes the kinds and classes of
radio operators and the technical and other qualifications which they
must possess as a basis for licensing. Examinations for the various
operator licenses are given regularly at the Commission's field offices,
and at quarterly and semiannual intervals at nearly 100 examination
points conveniently located throughout the country.
2. COMMERCIAL RADIO OPERATORS
The term "commercial radio operator" is used by the Commission
to include all persons holding radio operator licenses which authorize
85949Q--.---50--9 119
120 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
the operation of radio stations as a part of their li"Velihood or "Vocation,
as compared with the "amateur radio operator" whose interest in radio
technique is solely with a personal aim as an a"Vocation and without
pecuniary interest. "Commercial Radio Operator", therefore, em 
braces the thousands of license holders who are employed, either full 
time or part time, for the operation of radio transmitters in broad 
cast stations, in ship and coastal radiotelephone and radiotelegraph
stations, in aircraft stations, aeronautical ground stations, in .state
and municipal police, fire or forestry stations, etc. The nearly 380,000
commercial radio operators thus constitute, numerically, the largest
single group of license holders with which the Commission is con 
cerned in administrati"Ve and regulatory matters, and possihly the
most complex because of the indi"Vidual problems which they present.
The duties of a commercial radio operator, with respect to any·
licensed station, include not only the handling of communications, the
manipulation of on-off controls, and the keeping of station logs (if
required), but also, in a larger sense, the performance of any tech 
nical duties which may affect the station's operation in compliance
with the terms of its license and with the Commission's rules and
regulations. In some' classes of stations, the operators on duty and,
in charge do not need to be qualified or authorized to perform all of
those duties, but in other classes of stations a fully qualified operator,
authorized to perform all ofthose duties, is essential. Accordingly,
the commercial radio operator licenses issued by the Commission are.
graded in accordance with the technical or nontechnicalle,,"l of duties
and responsibilities they are expected to perform.
There are two basic classifications of the commercial radio operator
licenses-radiotelephone and radiotelegraph-and se"Veral grades
within each classification, each conferring a different degree of opera 
ting authority in accordance with the demonstrated qualifications (and
in some cases experience) of the operators. This grading varies from
jauthorizing limited and nontechnical operation of simple "push 
button" transmitters to authorizing unlimited operation, including in 
stallation, servicing, and maintenance of the most complicated and
powerful installations. The matter of licensing, and thus of examining
the qualifications of radio operators, expands with each new de"Velop 
ment in the use or technique of radio, and requires that the commercial
radio operator license and examination structure be constantly re 
viewed and be brought up to date when necessary.
Between 1939 (the date of the last major revision) and 1948, the
wartime and postwar demands upon the Commission pre"Vented re 
vising the commercial radio operator rules, licenses, and examinations
to keep step with the rapid advances then taking place in electronic
methods, uses, and techniques. As a result, it waS necessary early in
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 121
1948 to concentrate on a complete revision of the existing commercial
radio operator examinations. This project was completed during
fiscal 1949, and the scope of the examinations for the higher grades of
licenses has been broadened so that they now contain, for the first
time, such matters as microwave, television and frequency modulation
techniques, radar and loran methods, and radio-navigation systems.
A continuingschedule has also been set up to review these examinations
periodically and to make such additional changes as may be necessi.
tated by radio's future developments.
In keeping with modernizing the commercial radio operator license
and examination structure, several related projects were accomplished,
others were under consideration, and still others were in preparation
or projected at the end of the fiscal year. One such change which has
been made effectIve is a complete revision of the rules defining the
scope of operating authority under the various classes of operator
licenses to include in that authority, wherever applicable, permission
to operate stations when transmitting by frequency-modulated and
pulsed techniques. The scope of the operating authority under the
various classes of radiotelephone operator licenses was also broadened
to permit the holders to operate, under certain conditions, stations
transmitting signals technically classified as telegraphy but which
do not involve Or require a knowledge of the Morse code.
Another change, made near the end of· the fiscal year to become
effective January 3, 1950, provides for a special examination and a
special endorsement to be placed on radiotelegraph first- or second 
class licenses to certify to the special qualifications of the holders to
operate radiotelegraph stations on board aircraft in accordance with
recommended standards of the International Civil Air Organization.
A similar proposal, still pending, would provide for a special examina 
tion and a special endorsement for first- or second-class radio operatot
licenses to certify to special qualifications to perform installation,
servicing, and maintenau.ce duties in connection with ship radar sta 
tions. A 2-day hearing and oral argument intended to inquire into
the need and justification for such an endorsement, and a correspond 
ing limitation on all persons not holding licenses bearing the en
e
dorsement, begun in January 1949, was due to resume inSeptembe~
1949. Accordingly, the questions involved in this proposal may not
be resolved until late 1949 or early 1950.
When an applicant for a commercial radio operator license suc 
cessfully completes the required examination, the license which he
receives is valid for 5 years, after which he is required to again qualify
for that license if he desires its renewal. In lieu of examination,
however, he is permitted to demonstrate his continued qualifications by
submitting proof of radio operating experience during the term of
122 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
the license. At the present time, the relevant rules of the Commission
permit the acceptance of 3 years of service as a radio operator, in the
aggregate during the license term, in lieu of reexamination in qualify 
ing the holder of a commercial radio operator license for renewal
without examination. They also permit the acceptance of 2 years
of service if the last year has been continuous and immediately prior
to the date of the application. This has resulted in considerable hard 
ship in the cases of certain radio operators who have been unable to
meet either of the above requirements because of irregularities of
employment. Accordingly, the Commission has proposed that the
rules be changed to permit the acceptance of 2 years of service as a
radio operator in the aggregate during the license term, in lieu of a
reexamination in qualifying for renewal.
Coincident with the above proposal, the Commission also proposed
-that an applicant for renewal of a commercial radio operator license,
who was unable to qualify for a renewal without examination but who
had served under that licensee for an aggregate period of 1 year during
the last 3 years of the license term, would be required to successfully
complete the entire examination as for new license, but would be issued
a renewal upon successful completion of a specified abridged renewal
examination. This proposal, which contemplated an increase from 3
months to 1 year in the service required to qualify the applicant to
take the renewal examination, attempted to equalize the relative value
of service under a license as compared with an examination in demon 
strating an operator's continued qualification to hold a license.
Both of the above matters, published as proposed rules, were pending
at the close of the fiscal year because of continuing discussions of the
subject with interested parties.
In accordance with its obligation to determine the qualifications of
every radio operator before issuing him a radio operator's license, it
has been necessary in the past that all applications submitted by per 
sons having serious physical disabilities be reviewed by the Com 
mission en bane prior to the issuance of such licenses. This has re 
sulted in a delay, in addition to increasing the work load of the Com 
mission. Because of this, the Commission has proposed to simplify
the issuance of such licenses by revising its rules, to clearly set forth
those classes of physical disabilities (complete deafness or complete
muteness) which disqualify an applicaut for any commercial radio
operator license and to specify that applicants having other physical
handicaps may be issued any operator licenses for which they other 
wise qualify, subject to certain conditions intended to insure that the
public interest will be served. Thus, in those cases where the operator
himself, by virtue of the class of license which he holds, might become
personally involved in an emergency affecting a station devoted to the
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 123
safety of life and property, such as at a compulsorily equipped ship
station, the operator license would be endorsed to prohibit the per 
formance of normal operating duties at such stations if his physical
handicap clearly prevents his performance of all operating duties
under emergency conditions. At the close of the year this project was
awaiting final action by the Commission.
The growth in the number of licensed commercial radio operators
corresponds closely with the general growth in the number of licensed
radio stations. However, under its statutory authority the Commis 
sion has waived, in some circumstances and under certain conditions,
the basic requirement that the operation of every licensed radio station
be performed by a licensed radio operator.
Itis of interest to note that, although the trend in the total number
of licensed radio operators has continued upward since the end of
the war, the rate of increase has declined and has now apparently
stabilized to a near parallel to the increase in the number of stations
at which those operators might be employed. Itshould also be pointed
out that the number of holders of the higher classes of radiotelegraph
operator licenses decreased from 22,352 at the end of fiscal 1947 to
19,104 at the end of 1948 and to 14,687 at the end of 1949. On the
other hand, holders of the higher classes of radiotelephone operator
licenses increased from 46,292 in 1947 and 49,116 in 1948 to 50,996 in
1949. This indicates an expanding need for technically qualified op 
erators for the operations and supervision of radio transmitters in the
expanding use of radiotelephone communications in the industrial
and commercial fields.
3. SPECIAL AIRCRAFT RADIOTELEPHONE AUTHORIZATIONS
A special form of radio operator's authorization is available to
private flyers who desire to use radiotelephone in their planes. It is
issued by all Commission field offices and, as a special convenience, at
the airfields through approximately 2,400 aircraft pilot examiners of
the Civil Aeronautics Administration delegated for this purpose.
More than 100,000 special aircraft radiotelephone authorizations were
outstanding at the close of fiscal 1949, an increase of nearly 25,000
from the year previous.
4. AMATEUR RADIO SERVICE
The Amateur Radio Service is internationally recognized as a serv 
ice carried on by duly authorized persons interested in radio technique
solely with a personal aim and without pecuniary interest. Accord 
ingly, this service provides all interested and qualified citizens with a
means of obtaining purely voluntary technical training and communi 
cations experience in the field of radio. In the United States it is one
124 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
of the largest and most active of the radio services authorized hy the
Commission. Thus, at the close of the fiscal year there were more than
81,600 amateur station licenses and over 80,700 amateur operator li 
censes outstanding, which reflected a normal addition during the fiscal
year of about 6,000 new operator and station licensees.
The Amateur Radio Service has no age limits. It interests the
young as well as the old. Though the average age of self-styled
"hams" is about 34, teen-agers are numerous. During the year 2
youngsters-:-one 9 years old and the other aged ll-qualified for
licenses.
The amateur field, besides being a boon to the invalid, and even the
blind, is an appropriate outlet for radio-conscious youth to pursue an
engaging and instructive hobby. The parents of a boy or a girl hold 
ing an amateur license have little cause to worry about where these
young people are spending their spare time and evenings. They are
usually in air communication with other "hams" or helping a neighbor
ro-rig his set.
Although nominally a personal hobby, the nature of the Amateur
Radio Service is such that it has a high degree of public value. Thus,
the service maintains a pool.of self-trained radio technicians upon
which the country can draw in case of need. For example, during
the fiscal year the National Military Establishment created an or 
ganization known as the Military Amateur Radio System for the
purpose of fostering interest in military radio communication. Al 
though operating as a military organization, on military frequencies,
using military call signs, this system is staffed principally by personnel
holding amateur licenses issued by the Commission.
Another aspect of the public service value of the Amateur Radio
Service was illustrated in 1949 when amateurs furnished emergency
means of communication during the failure, because of natural
disast~rs,of normal communication facilities in various parts of the
United States. Thus, during the winter months of 1948--49 when
a large portion of the FarWest was snowbound, gaps in communication
lines were bridged by amateur radio thereby aiding rescue work.
Amateur radio performed a similar important function in connection
with the major hurricanes that struck Florida during September and
October of 1948. Arrangements were effected during the year for
closer coordination bet\veen amateur emergency communication
activities andthe disaster service of the Red Cross.
With a view to further fostering the development of the Amateur
Radio Service, the Commission on April 20, 1949, adopted a notice
of proposed rule making which attempted, by setting forth an over-all
plan, to provide express scope and direction for the immediate and
long-range development of this service. To achieve this purpose,
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 125
'a mimber of major and minor amendmentS to 'the amateur rules
were proposed. The Commission invited comments from all interested
parties and set July 20, 1949 as the final date for filing. Hundreds
of amateurs submitted comments, both pro and con, attesting to
,the deep interest of the amateur in the service in which he operates.
During the fiscal year the interim authorization for use at amateur
'stations of narrow band frequency or phase-modulation~the bands
·3,850 to 3,900 kilocycles, 14,200 to 14,250 kilocycles, 28.5 to 29.0
'megacycles and 51.0 to 52.5 megacycles was extended to July 31,
1949. Other rule amendments clarified the prohibition against
"broadcasting" by amatenrs; authorized mobile and portable ama 
teur operation in the United States, its territories or possessions
on all amateur frequency bands; shifted the 27 megacycle band from
27.160-27.430 to 26.960-27.230 megacycles (to become effective July
'1, 1949); and made certain frequencies in the band 1,800 to 2,000
'kilocycles (160-meter band) available to amateurs on a geographical
.basis provided no harmful interference is caused to the loran system
of radio navigation.
The growth of televisionpresented a challenge to many amateur
'licensees to reduce'radiation by their transmitters of harmonics and
·other spurious emissions which result in interference to TV receivers.
Soine radio amateurs, with facilities to do so, made extensive tests
which indicated that reduction of such interference could be
satisfactorily accomplished on the part of amateur station licensees
,within the normal service areas of television stations.
A comparatively new amateur activity, the use of "radio printers,"
·is making rapid strides due to the availability to amateurs of surplus
,radio-teletype equipment. Two-way "radio printer" contacts between
·amateur st",tions in the United States and Japan have been reported.
5, CITIZENS RADIO SERVICE
The Citizens Radio Service was established on a regular basis on
J uile 1, 1949, at whichtime newly adopted rules governing its operation
·also became effective.
,The Commission allocated the frequency band 460-470 megacycles
to the Citizens Radio Service in 1945, and until the effective date of
.the new rules stations using this frequency band were operated on a
tempor'ary 'basis under experimental class 2 radio station licenses.
Itisthe purpose of the Citizens Radio Service to provide for private
short-distance radio communication, radio sigualing, and the control
of objects or devices by radio, with a minimum of licensing reqt,iire 
ments, and to provide procedure whereby manufacturers of radio
'equipment to be used·or operated in this service may obtain "type
approval" of such equipment.
126 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Any citizen of the United States 18 years of age or over is eligible
to apply for a citizens station license. Pending further study of the
eligibility regulations, applicants such as police, municipalities and
other government agencies which might be eligible for license in any
other radio service, must make a satisfactory showing of need before
they may obtain licenses in the Citizens Radio Service.
The present Citizens Radio Service rules provide, among other
things, a simplified licensing procedure for users of equipment ap 
proved by the Commission; operation under certain conditions of
citizens radio stations without the necessity of securing a radio opera 
tor's license; two classes of stations dependent upon the power input
and frequency stability; and engineering standards, technical specifi 
cations and procedural requirements for obtaining Commission type
approval of equipment.
Under the simplified licensing procedure, an applicant for a citizens
radio station license intending to use type-approved equipment may
submit application on a single card form to the Commission's engi 
neering field office for the area in which the applicant is located, and
receive a station license without delay. Proposed users of equipment
not type-approved must submit applications, including technical
data regarding the equipment, to the Washington office of the Com 
mission, where a determination will be made regarding the technical
acceptability of the eqUipment.
In addition, the new rules outline the types of communication that
are permitted, station identification requirements, station locations,
etc.
The Commission has endeavored to allow the widest possible latitude
of activity in the Citizens Radio Service commensurate with provisions
of treaty, law, and regulation. Studies were completed during the
year of information and technical data regarding station operation
obtained during the experimental period of this service, and many of
the findings resulting therefrom are reflected in the new rules.
The public interest in the Citizens Radio Service increased consider 
ably during the past year and, with the service established on a regular
basis, greater interest is anticipated. It is expected, too, that an
increased number of manufacturers will provide equipment for use
in this new service. As of this date, the transmitter of one manu 
facturer has received approval from the Commission under the Citi 
zens Radio Rules.
6. STATISTICS
AUTHORIZATIONS
Authorized amateur stations and amateur operators, citizens and
special aircraft radiotelephone authorizations increased by more than
61,000 during the year, bringing their total figure in excess of 645,000.
Below is a comparative table for the past 2 fiscal years:
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 127
194' In"""""
81,675 3,241
122 74
81,7fJT 3,315
80, 721
~""
104,500 24.56ll
378,500 30,697
563,790 58,064
645,587 61,379
77,923
I SO, 000
347,803
TotaL1~~';;05;;.;;726;;"I~~;;;;~,I~~~,;;;,;;
Grand totaL _. .______________________ 584,208
194'
Stations:
Amateur ._._____ _ _ _ __ _ 78, 434
Citizens.• . ._. _.. 48
TotaL__ •• •1~=~7;;~~482~1~~~~,1~~=;:,;;;
Operators:
Amateur.__ • _
Aircraft _
CommerciaL. _
1Estimated.
APPLICATIONS
During fiscal 1949, applications in these operator groups collectively
totaled more than 162,000. By service, these applications were as fol 
lows: Amateur, 33,604; citizens, 488; commercial radio operators,
102,606; special aircraft radiotelephone authorizations, 26,136, and
about 200 applications to act as issuing agents in the latter connection.
[ Page 128 in the original document is intentionally blank ]
CHAPTER VII. FIELD ENGINEERING AND MONITORING
I. GENERAL
2. FIELD OFFICES
3. DISASTER EMERGENCY COORDINATION
4. MONITORING
5. INSPECTIONS
6. OPERATOR EXAMINATIONS
7. INVESTIGATIONS
8. TECHNICAL OPERATIONS
9. FIELD STATION LOCATION CHANGES
10. STATISTICS
I. GENERAL
The Commission's field engineering and monitoring activities tie
in with the technical aspects of radio regulation. Their chief fune-·
tion is to maintain watch over the use of the radio spectrum to see that
frequency allocations, station assiguments and equipment perform 
ance specifications are adhered to. In this respect the field force
constitutes anethertraffic patrol.
The field work is decentralized into nine regions for the United
States and its possessions. Within these regions are 23 district offices, .
6 suboffices and 3 ship offices,supplemented by.10 primary monitoring
stations and 10 secondary monitoring stations.. (See listing in
appendix.)
2. FIELD OFFICES
Field engineering offices are located in 33 cities in the United States,.
Puerto Rico, Alaska, and Hawaii. Their duties include monitoring
to see that stations operate on the frequencies assigued to them; in 
spection of all types of radio stations to insure that equipment is
properly installed, particularly on ships and aircraft where safety of·
life and property is a major consideration; tracing and closing down
illegal operation; investigating interference complaints which arise
in connection with radio transmission; making engineering surveys
and measurements for use of the Commission in allocating frequencies;·
conducting examinations for radio operators; and, on occasion,
furnishing directions to lost airplanes and providing bearings on
ships indistress.
129
130 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Field offices function as "on the spot" representatives of the Com 
mission in supplying information, both general and technical, to per 
sons desiring to apply for construction permits or licenses and, fur 
ther, to assist them to operate their stations in compliance with
Commission rules and regulations. This is particularly true in areas
located at considerable distances from Washington. After the ap 
plicants have received their permits, field office files and records are
established. Then follows inspection, monitoring, investigation and
technical survey.work which is necessary to regulation.
3. DISASTER EMERGENCY COORDINATION
The nine regional managers maintain contact with organizations
concerned with safety of life and property, such as the Coast Guard,
Naval Reserve, Army amateur nets, Army engineers, and with mu 
nicipal and state police organizations normally in control during
times of emergency and disaster. Regional managers are also per 
fecting organizations in their respective regions whereby there will
exist throughout the various states reliable amateur contacts who will
take charge of and be responsible for dealing with the Commission
in requesting a declaration of a state of communications emergency
when conditions warrant.
These arrangements involve close collaboration with the American
National Red Cross, which has established both fixed and mobile dis 
aster communication facilities in various sections of the country,
interconnected by wire and radio circuits. A TWX machine has been
installed by the Red Cross in the field net control for direct communi 
cation with the Commission's Washington office for emergency
purposes.
FCC assistance was given, through regional managers, in 5 commu 
nication emergencies during the past fiscal year: The Fl"rida hurri 
cane, September 20 to 22, 1948; Midwest ice storm, January 12, 1949;
Midwest blizzard, January 29, 1949; levee break at Port Allen, La.,
March 24, 1949; and West Virginia flood, June 19, 1949.
4. MONITORING
Radio monitoring is the key to policing radio transmissions. A
station slightly off frequency or one overmodulated, as examples, can
cause serious disruption to other radio services. Another important
monitoring service is the gathering of data for use in frequency alloca 
tions, assiguments of stations, and in international conferences. This
work is supplemented by station inspections by the field offices. The
latter correct many discrepancies, such as enforcing proper tower
lighting for the protection of air travel, measures for the safety of
operating personnel, and compliance with other rules and regulations.
132 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The 1,738 major monitoring cases handled during the year, com 
pared with 1,445 in 1948, illustrate the growing dependence upon the
Commission's listening posts for policing the ether and enforcing radio
traffic regulations.
Because of its efficient system, the monitoring network performs an
·incidental service in helping locate lost planes. Systems operated by
·the military, which were set up for such work in the United States
·during the war, are no longer in operation, and the Commission's mon 
itoring bcilities constitute the only large system now available for
.perlorming this service. During the past year 141 requests were
received in this connection as compared with 170 in 1948. To some
extent, this decrease reflects increased air safety measures. However,
requests for such aid wiII continue. Among instances of monitoring
assistance given during 1949 were those resulting in the rescue of a
plane forced down in the Caribbean, aid to a famous transoceanic
flyer, and getting a planeload of cadets back on the beam.
Representatives at recent international conferences have requested
-information concerning the Commission's monitoring system. Inter 
national planning organizations continue to require its assistance in
collecting data on occupation and use of frequencies. With such in 
formation, the United States representatives are aided materially in
their participation in world-wide planning for efficient use of the
.spectrum.
These and other monitoring services depend upon a highly coordi 
nated interconnecting teletypewriter and radio communication system
which handled more than 46,000 messages (over 1,600,000 words) last
year.
ENFORCEMENT ARM OF MONITORING
Enforcement work is an integral palt of monitoring operations.
Enforcement is required by the Communications Act and by inter-
·national treaties to which the United States is a party. Additionally,
the Commission issues regulations based upon its authority under the
act and many of these require monitoring for enforcement.
Practical administration must concern itself with the effect of a
}'adio signal and its characteristics. Monitoring stations, by scrutiniz 
ing the signals of radio stations, fill this practical need. They employ
highly accurate frequency measuring equipment, and perform signal
analysis through the use of special analyzing dcvices devcloped by
·the Commission.
During the fiscal year all monitoring' stations except one were
equipped with a device for converting radio printer signals into actual
printed messages, which has enabled the Commission to propose re 
laxing the requirement that such stations employ old-fashioned and
costly hand-sending methods to identify themselves. This is an ex-
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 133
ample of themanner in which the Commission cooperates with industry
in lessening reqnirements when radio progress makes it possible to do
so. With respect to ships, the situation in regard to maintaining
frequency within the allowable tolerances has greatly improved, and
it is believed that this improvement resulted largely from monitoring
findings.
The world continues to experience unstable conditions and one of
the fields of instability is in radio. While many nations are pledged
to cooperate in the submission of information concerning their op 
erations and to adhere to established standards of operation, some of
these promises are not always met. As a result, there come to notice
many unlisted foreign radio operations which not only cause inter 
ference but often operate contrary to agreed international procedure.
By means of monitoring an elaborate identification file and "knowing
how," the Commission has been enabled to identify many of these
stations and report their improper performance to the Department
of State.
The public was recently acquainted with the effects of "jamming"
the broadcasts of the United States intended to reach the nationals
of another country. The Commission's monitoring stations played
an important part in collecting evidence upon which the United States
position was predicated and made public.
As far as our own country is concerned, the policing of hundreds of
thousands of radio signals is a huge task. Stations which operate with
technical deficiencies such as off-frequency, broadness beyond that
necessary, and poor quality of signals, are advised and required to
correct the condition. A follow-up is provided so that actual correc 
tion results in practically all cases.
As a result of the necessity of employing monitoring personnel in
other more pressing work, the number of men who could devote their
attention to enforcement has been reduced. This is reflected in a drop
in advisory notices sent to offending stations from 15,064 in 1948 to
11,679 in 1949.
5. INSPECTIONS
BROADCAST STATION INSPECTIONS
Commission engineers made 1,966 inspections of broadcasting sta 
tions in fiscal 1949, which were 210 less than the previous year.
AM stations led with 1,663 inspections, while 267 inspections were
made of FM stations and 36 inspections of TV stations. Inspections
are made on an irregular basis-once during the station's license pe 
riod-to assure that the station is rendering a satisfactory broadcast
service in compliance with the terms of its authorization. Numerous
technical requirements such as tower lighting, safety devices, and
134 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
maintenance of directional characteristics are checked during these
inspections.
Included in the above figures are initial inspections of new broad 
cast stations. These were made while the stations were on equipment
tests preliminary to commencing regular operation. The break-down
of initial inspections was 329 AM, 73 FM, and 8 TV stations. Upon
being found satisfactorily constructed and operated, these stations
were certified for regular programming.
SHIP STATION INSPECTIONS
Since 1910, when the United States first enacted laws reqUIrIng
radiotelegraph installations on ships, the inspection and enforcement
activities of the Commission and its predecessors have been directed
toward achieving the most reliable and efficient operation of such
equipment. As a result of regular, thorough inspections and the strict
enforcement of essential regulations, the efficiency of radio in safe 
guarding the lives of the thousands of people who travel by sea, and
in preserving millions of dollars in property, has been maintained in
a very high degree.
However, the enforcement of safety radio standards on board
United States and foreign merchant ships, under the provisions of the
Communications Act of 1934, the International Convention for the
Safety of Life at Sea and various other international treaties, was
l'elaxed somewhat during the year due to the transfer of field engineers,
normally assigned to ship inspectional work, to the solution of prob 
lems created by the rapid growth of other radio services. Despite the
shortage of adequate personnel, more than 11,000 ship radio station
inspections were completed. A comparison of the number of ship
station inspections conducted during the past five fiscal years is pro 
vided by the following table:
Number of ship inspections
1945 1946 1947 1948 1949
------------1----------
United Statesships_~~~_••~•• 13,843 12, 765 11,717 10, 117 7.991
Foreign.ships.~•••• • • •••_ 1,888 1,0'23 2,231 2, 3M 3, Ml
TotsL .. l'5:731~13,;812.48l1~
It will be noted that though the number of foreigu ship inspections
increased by 29 percent during 1949, the number of United States vessel
inspections decreased by 21 percent. This was due in part to the fact
that for several months during that year domestic shipping was at a
standstill because of seamen's and longshoremen's strikes. This was
rellected in the number of discrepancy notices served. Comparable
lIgures for the last 5 years were:
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 135
Number 01 dlJJcrepancy notice3 served
194' 1946
'94' 1."
1949
8,677
,1<
Tota1. ._.~.• •••__ 9,391
~365
404
~,..
8,040 10,.')19
1,190 1,688
9,230 12, 207
8, ....
1,762
.,996
A total of 3,556 violations of safety radio standards were detected
and remedied during the inspections of ship stations in 1949. This
compares with 4,433 in 1948. Statistics for the last five fiscal years
are here shown:
Violations oleared during inspectfon3
1...
United States sbips•.•• ••• ._._____ 7,~
Foreign sbJps__ . ,_______~"'''
1945
~830
129
194'
.,673
."
"..
3,925
508
194.
3.000
"5
TotaL • •• ••
7,809 6,128 ',433 3,556-
INSPECTION OF' OTHER RADIO STATIONS
The tasks in which radio may be employed and the benefits to be
derived from its many uses continue to increase with each year. New
services and new stations call for an increase in the scope and com 
plexity of other than broadcast and ship inspections. In 1948 a total
of 14,605 inspections were made of land stations other than broadcast,
while in 1949 the figure was 10,534. In 1948 technical deficiencies
numbering 4,308 were reported; in 1949 there were 4,212.
6. OPERATOR EXAMINATIONS
Unabated interest in obtaining radio operator authorizations of var 
ious kinds was attested by the growing number of applications (see
chapter on "Radio Operators").
Operator examinations are largely given in the field. In the com 
mercial radio operator classes, there were 20,874 new applicants for
radiotelephone and 2,032 new applicants for radiotelegraph. Of
these, 9,746 failed the radiotelephone examination and 816 failed the
radiotelegraph code test. However, 4,949 were issued restricted
radiotelephone operator permits by virtue of having obtained a passing
grade in element I, while 71,986 applicants obtained this permit on
declaration of their familiarity with rules and regulations pertaining
to small station nonbroadcast and nonamateur operation. Renewal
licenses numbering 5,988 were issued. Amateur radio operator appli 
cants totaled 4,829 for class A privileges and 17,229 for class B. Special
859490--50----10
136 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
aircraft radiotelephone authorizations issued by the field offices
amounted to 663.
7. INVESTIGATIONS
The Commission's field engineers were increasingly active in in·
vestigating cases of interference between the various radio services,
as well as interference caused to broadcasting by various electrical
devices. During the year, 7,618 cases required their attention. This
was 778 more than in 1948.
Besides the licensed radio stations involved, 155 unlicensed stations
were located in 1949 as compared to 153 in 1948. The latter were
promptly taken olf the air and their operators advised of their lia·
bility to prosecution under the Communications Act.
Nine of these cases were referred to the Department of Justice for
appropriate action. Three convictions were obtained during the fiscal
year and fines of $100, $50, and of 1 year's probation were imposed,
respectively. Additionally, 4 defendants scheduled to be tried in
October 1949 were at liberty on $1,000 bond each, and 3 defendants
involved in another unlicensed operation were under $1,500 bond each
pending trial set for August 1949.
The Commission does not, in all cases, seek the conviction of illegal
operators. Some offenders have no previous violation record and are
admonished about the menace of unauthorized transmission to regular
radio services-p·articularly those used for the protection of life and
property-as well as the possible penalties which may incur to them·
selves. In the case of thoughtless or reckless minors, the latter and his
parents are not only reminded of these consequences but are advised
about approved ways for youth to take up radio operation as a pro·
fession or as a hobby.
The fact that intruders on the ether lanes are speedily detected, and
can be run down by fixed and mobile monitoring apparatus, is a
deterrent to would·be violators generally. It is usually a person
unaware of this who attempts to engage in unauthorized operation.
One unusual case during the year was the tracing and closure of a
nonlicensed transmitter, hidden in a store in a West Virginia munici·
pality, which was used by a local faction to broadcast derogatory
statements about the city officials. Commission investigators also
halted the operations of several "bootleg" stations which charged
for time but caused interference to regular broadcast. Each year the
Commission apprehends unlicensed individuals who invade the bands
assigned to amateurs. One such operation was traced to a crew memo
bel' of a ship far at sea, and he was made aware of his transgression
before the vessel reached port.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 137
As in previous years, action had to be taken against unlioonsed radio
operation in connection with betting on horse racing. Bookmakers in
some States, prevented from reooiving results by leased wire, actually
set up and attempted to operate long- and short-range transmitters to
flash track results to their establishments on the outside. On the
other hand, some individuals and groups sought to obtain an ad 
vantage over certain bookmakers by radioing indications of the win 
ning horse so that confederates could place almost "sure" bets. An
example of the bookmaker's use of clandestine radio is contained in
a Commission case pending in the Federal court at Las Vegas, Nev.
The other category is reflected in an indictment obtained against 3
individuals who resorted to the same means in an effort to "beat"
bookmakers inSeattle,Wash.
8. TECHNICAL OPERATIONS
The number of stations operating in higher frequency ranges has
increased the need for precision types of measuring equipment at the
lield offices and monitoring stations. As a result, a considerable quan 
tity of new apparatus was procured, including frequency measuring
and field intensity measuring equipment, which will permit more
complete surveillance of the technical operation of stations in all
frequency ranges. For example, equipment has been purchased
which will permit accurate frequency measurements on all frequen 
cies up to 10,000 megacycles.
The number of requests for engineering measurements from within
the Commission and from other Government agencies increased about
10 percent over the previous year. Field offices and stations engaged
in 118 engineering projects involving engineering studies, investiga 
tions and measurements requiring a total of 8,685 man-days for com 
pletion as compared with 6,276 man-days for similar work for the
previous year, an increase of 35 percent. Examples were;
The directional patterns of 99 different standard broadcast stations
were checked to determine whether the stations were operating their
antenna systems according to the specifications set forth in their
licenses. In addition, 14 projects involving field intensity measure 
ments were initiated.
The long-range broadcast signal intensity recording programs are
being continued at the monitoring stations and at the Baltimore dis 
trict office. These programs now include field intensity recording
on AM, FM and TV broadcast stations and on atmospheric radio
noise.. Information obtained is used in connection with frequency
allocation studies and in determination of range of coverage to be
expected.
138 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Measurements and observations were made for the Bureau of Stand 
ards to determine whether the new standard frequency station now
operated in Hawaii materially improves the standard frequency serv 
ice rendered by the Bureau. All monitoring stations were engaged
in this project.
Measurements were made for the Coast Guard for the determina 
tion of the interference capabilities of a new transmitter for use in
the loran navigation system.
Plans were completed and equipment installation begun on 10 cars
which are to be used to test field intensity measurements, frequency
measurements and make other technical determinations. These mo 
bile units will also be employed to make various engineering measure 
ments which cannot be accomplished at the fixed monitoring stations.
Other field activities involved construction of special monitoring
and other equipment which cannot be procured in the required form,
and modification of commercially available equipment to meet specific
applications. Extensive improvements were made to the VHF field
intensity recording installations at the nine monitoring stations en 
gaged in this activity.
9. FIELD STATION LOCATION CHANGES
The Cleveland, Ohio, suboffice was closed December 31, 1948, due to,
lack of funds, and Cleveland was established as a quarterly examina 
tion point. Budgetary limitations also closed the Juneau, Alaska"
secondary monitoringstation, as of June 30, 1949, and the Alaskan area
will be served by the remaining Anchorage station, which was moved'
to a new local site.
The Livermore, Calif., primary monitoring station was moved to a
new local site and the work for placing it in operation was proceeding.
The Hawaiian primary monitoring station moved to Fort Hase from
Punch Bowl when the latter site was taken over by the Army. En 
croachment of construction caused the secondary monitoring station
at Broken Arrow, Okla., to move to Muskogee, and local relocation
of one at Bay St. Louis, Miss. Another moved from Navy property
at Richmond, Fla., to Commission property at Fort Lauderdale. In 
ability to renew a lease caused the Searspoint, Maine, station to shift
to another local site.
A list of field offices and monitoring stations appears in the ap 
pendix.
10. STATISTICS
The extent of certain engineering field activities is indicated in the
following tabulations for the calendar year 1949 which pertain only
to work done outside of Washington:
7.991
8.244
3.000
3.041
1,7,2
5,6
12,500
4,212
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 139
Inspections:
United Statea Ships - - -- - --_--- --- ---- - ---
~oticesserved _
Violations cleared during inspectioll _
Foreign ships _
Notices served _
Violations cleared during inspection__- ..~_
Land stations _
Notices served _
Monitoring:
Cases 28,307
Notices served~11,679
Investiga.tions:
Licensed stations_______________________________________________ 4,887
Unlicensed stations_____________________________________________ 3,868
Examinations:
Commercial, new :.. 23,722
Commercial, renewals___________________________________________ 247
Amateu~17,229
Licenses issued:
New 90" 734
Ftenewals 6,446
[ Page 140 in the original document is intentionally blank ]
CHAPTER VIII. TECHNICAL STUDIES
1. GENERAL
2. TECHNICAL INFORMATION DIVISION
3. LABORATORY DIVISION
1. GENERAL
The technical research staff of the Commission is a radio regnla 
tion what the mechanical and civil engineer is to material construc 
tion. Unless the fonndation of a structure is sound, the ultimate
job-be it building, bridge, or frequency allocation-will collapse.
Continuing research is essential to radio's future, and its benefits are
shared by the public and industry.
Probably the most difficult task of the Commission is the allocation
of spectrum space to specific radio services. A workable and lasting
allocation plan requires a detailed knowledge of propagation char"
acteristics and their impact upon service ranges, interferencepoten~
tialities, channel separations, power limitations, and other inter 
related matters. Such scientific knowledge is best obtained through
practical field measurements and careful engineering analysis of the
resulting data. This scientific approach is laborious and timecon-.
suming, but there is no satisfactory substitute.
The same considerations apply to principles of radio engineering
and technical operation, such as those embodied in the Commission's
Standards of Good Engineering Practice. The technical staff must:
furnish the best available answers to the complex problems involved
before allocation plans and engineering standards can be adopted by
the Commission.
2. TECHNICAL INFORMATION DIVISION
The Technical Information Division acts as an operational group
and technical consultant to the Commission. For this purpose it
organizes projects for the collection of data by the Field Engineering
and Monitoring and the Laboratory Divisions and for obtaining data
from other organizations. Italso participates in the technical studies
incident to international conferences and treaties, and represents the
141
142 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Commission in the coordination of radio research, standardization
and instrumentation with government and industrial organizations.
During the thirteenth year of its operation, the Technical Informa 
tion Division continued work on its long term projects, inaugurated
new projects, and tailored its general sphere of activities to the re 
quirements of a rapidly changing and expanding industry. The year
was marked by a large number of engineering conferences arising
largely from the technical problems invited by the development of
new radio services. The TID continued to carry on special studies
and to collect and analyze basic data concerning radio wave propaga 
tion as well as other communication problems, and to make the result 
ing scientific information available to the Commission for guidance
in the promulgation of new rules and the determination of technical
limitations and practical engineering standards.
A factual knowledge of equipment capabilities and limitations and
of radio wave propagation characteristics is fundamental to fre 
quency allocations. The whole structure of radio regulation dependa
on the soundness upon which this framework of frequency allocation
is built.
A judicious allocation of radio frequencies to the various radio
services presupposes a knowledge of many highly technical and com 
plicated things, including ionosphere and troposphere propagation
terrain effects, useful intensities of signal as related to various sourcea
of interference, geographical and frequency separations necessary to
alleviate interference in accordance with various requirements, equip..
ment capabilities and limitations, new developments and their pos 
sibilities, etc.
The Commission requires a detailed knowledge of the propagation
characteristics of radio signals throughout the spectrum in order that
the most economic and practical allocation of facilities may be
achieved. The propagation characteristics of the band of frequencies
allocated to a particular service must be consistent with the operating
requirements. The allocation of stations within a service, i. e., the
determination of cochannel and adjacent channel distance separa 
tions, service ranges and power limitations must be founded on a
knowledge of propagation. Such knowledge is best obtained from
deductions arrived at through the study and analysis of long-term
field intensity measurements involving the use of carefully calibrated
recording equipment and requiring the attention of experienced
engineers. It is the primary function of the TID to obtain such
data and furnish highly reliable solutions to the technical problems
involved.
The following problems were among those under study during the
past year:
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 143
MEDIUM FREQUENCY PROJECTS
Sunspot cycle recording8.-Solar activity has a profound effect
upon radio wave propagation. During daytime hours, standard
broadcast stations are only heard over relatively short distances. At
night, skywave signals may be heard from distant States as well as
from Mexico and Canada. The sunspot cycle covers a period of
about 11 years. The Commission's sunspot cycle project was in 
augurated in 1938 and is still active. Continuous recordings of broad·
cast signals are being made at Baltimore, Md.; Grand Island, Nebr.;
Portland, Oreg. ; Powder Springs, Ga. ; and from time to time at other
points.
These data are needed to supplement that taken in previous years.
Additional recording must be done to cover the full cycle. Coordi 
nation of this information with similar data recorded in Canada was
started during the year and will be continued for some time to come.
Meteorological conditions and their effect upon field intensities. 
The study of the relationship between field intensities and weather
conditions was continued at a decelerated pace. The signals from
WCAU, Philadelphia, were recorded at Baltimore and correlated with
simultaneous recorded weather data. Too little information is at
hand to make any firm conclusions concerning the physical causes
involved. The data, however, serve to illustrate the extent to which
groundwave signals, and the radio service dependent thereon, vary
in time. The work is being continued.
At'fIWspheric noise.-Continuous field intensity recordings of at·
mospheric noise between 200 and 1,600 kilocycles were continued as in
previous years. This information is analyzed and correlated with
thunder-storm data and the results are used in the preparation of a
series of noise maps to show characteristic variations with the time 
of day and a percentage of time for each frequency band and for
various latitudes. These maps are used in estimating the siguallevel
required to provide au acceptable radio service in the presence of at 
mospheric noise and, hence, the possible service ranges when inter·
ference from other stations is absent. Because of the pressure of
other duties, analyses and map preparation could not be undertaken
during fiscal 1949.
Skywave pulse trammissions.-Radio signals which travel from the
transmitter to the receiver by the way of the E or F layers of the
ionosphere are characterized by multiple reflections of different rela 
tive amplitudes and phases, depending on the distance or range of
reception. To determine action and effect, pulses transmitted by
certain broadcast stations which have volunteered their assistance are
received simultaneously on loran receivers at distances of 500 to 2,000
miles. The pulses appearing on the oscilloscopes of each receiver are
144 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
photographed at equal intervals of time. The refffilts are then
analyzed to determine the signal intensities exceeded for various
percentages of the time for the components arriving by way of one,
t'vyo,three or more reflections or "hops" from the ionosphere. Due to
the pressure of other projects, collecting this field data has been
·delayed. Additional measurements will be needed before any definite
.correlations can be determined.
Performance of directional antennas.-A government-industry con 
,ference was held in preparation for the September NARBA session
and several subcommittees were appointed to deal with specific engi 
neering tasks. The division collaborated with one committee in test 
ing the performance of about 29 operating directional antennas. The
chief object is to determine whether the restriction of skywave inter 
.ference provided by directional antennas is properly measured by the
minima produced in the groundwave radiation pattern or whether
.any additional precautions are desirable.
TECHNICAL STUDIES AND STANDARDS
.General.-The rapid increase in the number and.kinds of new radio
services has produced a whole new crop of technical problems. Each
new service requires the preparation of specific rules including tech 
'nical definitions, equipment requirements, and operational limitations.
This often requires intensive studies involving formation of commit 
tees representing other agencies as well as industry. Whenever tech 
nical difficulties are encountered, the various divisions of the Commis 
:sion turn to the Technical Information Division for assistance. Dur 
ing the past year the number of such requests. increased to a point
:where the limited TID personnel was able to handle only those of the
,very highest priority.
Low-power rules and restricted radiation devices.-The Commis 
sion's low-power rules became the subject of serious consideration,
partly because of complaints of interference in the broadcast band
.from certain low-power systems and devices, and partly from the de 
mand of the industry for a clarification of the present rules. The
TID sponsored a committee to study the problem and make recom 
mendations to the Commission. During the year this work was or 
ganized as a joint effort in which government agencies and the elec 
tronics industry participated. One industry-wide meeting and
several subcommittee meetings were held. A multiplicity of prob 
.lems and policy matters have arisen regarding these matters. The
study is in its initial stages.
The TV! (television interference)problem~Televisionreceivers
are unusually susceptible to interference. 'With their rapid manufac 
ture and sale during the past year, the number of complaints of in.
'terference received by the Field Division increased far beyond
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 145
anything anticipated. ' A study was undertaken to determine the
technical phllses of TVI. This is in conjunction with certain analysis
work being performed by the Laboratory Division. The problem is
'complicated and will require much testing and study before a solution
can be reached.
Receiver radiation.-The radiation of radio-,frequency energy from
:receivers, especially TV receivers, has also become a serious matter.
The rapid development of this new entertainment service and the con 
stant effort to build cheaper and cheaper receivers has made the prob 
1em a difficult one. The TID is represented on the joint RMA-SAE
Committee dealing with this problem.' The Division has conducted
studies and furnished technical advice. To date only slight progress
has been made. The work is of a continuing nature. '
Ooordination 0/ tetJhnicaJ, rule8.-With the large number of new
radio services recognized by the Commission, the problem of coordi 
nating the various technical phases of the rules for one service with
those of other services has become a necessity. The responsibility
iorsuch coordination with a view to uniformity throughout all services
,has been charged to the TID. This,work will be continued and ex·
'panded during the year.
, Single Bide band suppre88ed camer studies.-With the ever-increas 
ing demand for frequency space, engineers have turned to the single
-side band suppressed carrier method of operation because it offers a
saving in the band·width requirements. Many technical questions
have arisen concerning the actual band width needed for various types
of modulation, the methods of calculating and specifying power, etc.
The study of these problems was started eady in the year but, due to
the pressure of other work, was left for future attention.
oamer current radiation measurement8.-With the proposal to
""'rite rules and prescribe technical limits of operation for carrier cur 
rent systems, it became necessary to investigate the actual nature of
the field radiated from a power line or other conductors along which
""rrier current communications are being propagated. Almost no
practical knowledge regarding this matter was available, even from
those large commercial organizations where extensive systems are in
"peration.It therefore was necessary to make comprehensive plans
for widespread carrier current field intensity measurements. They
,have been advanced tothe formative stage and the cooperation of
the industry and other governmental agencies has been solicited. This
:project is expected to receive increased attention during the coming
year.
VHF AND UHF PROPAGATION STUDIES
. VHF televi8ion project.-The rapid growth of radio hasstimll 
hted development in and increased the,demand for higher and higher
146 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
frequencies with the result that the Commission has had to establish
services and license stations in many parts of this newly developed
region. The lack of knowledge regarding propagation and technical
standards has made the Commission's problem a difficult one. The
study of television allocations alone has constituted a momentous
task. During fiscal 1949, the TID devoted the £Ull time of seven
employees for a period of approximately 8 months to the television
problem and its allied Ad Hoc Committee work. This joint FCC 
Industry committee was appointed during the October 1948 television
hearing (Docket 8736 et al.). The chief of the TID served as chair 
man. The television industry and various government agencies were
represented. During the period October 1948 to July 1, 1949, the
Ad Hoc Committee held 28 formal meetings. The number of in 
formal conferences and subcommittee meetings was not recorded
but ran well into three digit figures and involved a large number of
man-hours.
The information from Commission field intensity projects was in 
tegrated with that obtained from the published work of other authori 
ties on radio-wave propagation. Additional data were furnished by
the various representatives of the industry who served on the Ad Hoc
Committee. All of this material was analyzed and studied in order
to determine, as nearly as possible, the effects of variations in trans 
mitter and receiver antenna height and directivity upon coverage, the
amount of transmitter power required for satisfactory service over
any given area, the extent of service degradation caused by tropo 
spheric and ionospheric propagation, the amount of variation in signal
strength with different types of terrain, and the relative effects of
frequency on the above factors.
Under the general direction of the Ad Hoc Committee, the TID
cooperated with the General Radio Propagation Laboratory of the
National Bureau of Standards in completing a large volume of com 
plex statistical and analytical work in a minimum amount of time.
It was only through the close collaboration maintained with the Cen 
tral Radio Propagation Laboratory as well as with the industry that
this momentous job was finished in the time allotted.
The findings of the Ad Hoc Committee appeared in technical re 
ports released by the TID. The whole series include over 130 pages
of highly complicated calculations, derivations and extrapolations
with resulting formulae, charts, tables, curves, etc. These reports
probably represent the most highly scientific study which the Bureau
of Engineering has ever undertaken. They are destined to have a
profound and far-reaching effect upon the future development of the
television industry.
Projeots in the FM band (88 to 108 meqtwyoles).-The VHF field
intensity recording projects inaugurated during the previous year
REPORT OF THE FEDERAL COMMUNICATIONS COM¥ISSION 147
were continued. Recorders were in operation at Millis, Mass. ; Laurel,
Md. ; Powder Springs, Ga. ; South Miami, Fla. ; Allegan, Mich. ; Grand
Island, Nebr. ; Portland, Oreg. ; Livermore, Calif. ; Honolulu, Hawaii;
and Trinidad, British West Indies.
The WBAM-W:iJXOT project.-The charts obtained in the WBAM 
W2XCT project of the previous year were further analyzed with a
view to expanding the general propagation knowledge in the VHF and
UHF bands. These charts, recorded over a period of about 12 months
at four separate locations on 47.1, 106.5, and 700 megacycles, yielded
the best data available for analysis on a statistical basis.
The Triwidad project.-Signals from WWV on 35 megacycles were
recorded throughout the year at Trinidad, British West Indies. This
project is being conducted on It joint basis with the Bureau of Stand 
ards. Equipment and supplies are being furnished by the Commis 
sion while plant facilities, electric power and personnel are being
supplied by the Bureau of Standards. Due to changing conditions
in the F2 layer of the ionosphere at this frequency, usable signals
Were received during only part of the year. However, this negative
information is almost as useful as is positive information. The proj 
ect is being continued.
Other VHF and UHF projects.-In addition to the projects pre 
viously described, the following problems received preliminary study
and general plans formulated for the inauguration of separate studies:
1. A study of the effects of variable hydrographic conditions on
Wave propagation.
2. A study of terrain effects upon wave propagation.
3. A study of surface coverage (trees, shrubs, etc.) and their
effect upon propagation.
4. Analytical studies of tropospheric interference.
5. Tropospheric interference studies for the UHF band.
6. Tropospheric interference standards for the VHF fixed and
mobile services.
7. A study of "scatter effect" and its probable impact upon VHF
and UHF services.
8. The development of automatic devices to scale field charts
and analyze the resulting data.
Technical cooperation with Government and industry.-The Com 
mission is represented by its Technical Information Division on a
number of important standing committees of government and in 
dustry. Among these are executive groups of the Central Radio
Propagation Laboratory, the URSI (International Radio Scientific
Union) and CCIR (International Radio Consultative Committee),
committees of the Institute of Radio Engineers and the Radio Manu 
facturers Association, and panels of the Committee on Electronics.
fj:
148 REPORT. OF THE FEDERAL COMMUNICATIONS COMMISSION
The Chief of the TID also served as an alternate to' the chairman
of the Commission on the President's Scientific Research Board.'
In addition to furnishing technical advice to the Commission, the
TID is called upon to answer technical questions of other government
agencies, industry, and private engineers. During the past year de·
mands of this nature increased far beyond those of any previous
period, and backlogs in routine work developed.
3. LABORATORY DIVISION
GENERAL FUNCTIONS
The Laboratory Division operates a laboratory at Laurel, Md., for
technical research and investigatiou to assist the Commission in allo 
cating frequency bands and establishing and revising engineering
standards and regulations for new as well as existing radio services.
Examples of the Laboratory Division's activities are (1) investiga.
tion of various methods of transmission and reception 'to determine
which method permits the most efficient utilization of the spectrum,
(2) tests of types of transmitters to determine whether interfering
signals are emitted on other than the frequency actually employed, and
(3) tests of receivers to determine how close together the Commission'
might place stations without the listem;r receiving several stations at
the same time. -
Laboratory testing concerns type of equipment rather than indi··
vidual units. Attempt is made to anticipate interference problems
and to have remedial measures taken at the manufacturing end rather
than to make individual investigation after interference occurs. If 
this procedure is not followed while a system is developing a multi 
tude of units may be placed in operation, after which the only remedy
may be of a "patchwork" nature.
Forexample, a manufacturer intendingto make many identical units
submits to the l\lboratory a sample of those he intends to produce. At 
the laboratory this model is subjected to tests to determw.e if its opera 
tiou is in keeping with engineering standards and will not cause inter 
ference to other services. If the equipment proves to be satisfactory"
it is type approved. This assures the manufacturer and the Commis 
sion that the public interest will be protected by the use of similar 
equipment.
Following is a summary of particular laboratory activities engaged
in during the year:
TELEVISION
A great amount of effort has been devoted to television studies.
These studies have been centered on television interference problems,
since this is a no-man's land in which far too little effort has been"
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 149
expended. In television broadcasting interference is one of the major
problems.
To illustrate the basic reasons why television is so subject to inter 
ference: An ordinary voice broadcast channel is only 10 kilocycles
wide. At 1000 kilocycles this channel width is 1 percent of the operat 
ing frequency. A television channel is 6 megacycles wide. At 60
megacycles this is one-tenth of the operating frequency. So the prob 
ability of interference to the TV channel is 10 times as great. In
addition, at the frequencies employed in TV, oscillator radiation is a
much more important interference factor.
Both laboratory and field tests were made on unsynchronized opera 
tion, synchronized operation and off-set carrier methods of interference
reduction. In addition, laboratory tests were conducted with the
use of FM video modulation within a 6-megacycle channel. Numerous
demonstrations of the various TV methods just outlined were con 
ducted at the laboratory for the Commission and for interested in 
dustry representatives.
Studies also were made covering the TV receiver oscillation problem,
the problem of interference to standard broadcast stations by TV
receiver synchronizing circuits and the performance of TV converters
to permit the reception of UHF signals on a VHF receiver." .
INDU8TRI.AL BEATING. DIATHERMY. AND MISCELLANEOUS BQUIPMENT
Radio-frequency heating for industrial, medical, and other miscel 
laneous uses has e>;panded to such an extent that the kilowatts of
equipment used by this group exceed the total transmitter kilowatt
power required for radio communication. Such equipment employs
the same frequencies used by the communications industry and, if not
properly designed and operated, will emit severe interfering signals,
Some of these units use power far in excess of the 50 kilowatt maximum
permitted broadcast stations.
To cope with the interference situations, the Commission adopted:
part 18 of the Rules and Regulations covering Industrial, Scientific,
and Medical Service, effective June 30,1947. Many devices employing
radio-frequency energy and capable of serious interference were not
clearly within the industrial heating or diathermy classification, so
they are covered by the subsequent Miscellaneous Devices section of
part 18. Included in this group are electric signs which employ radio 
frequency power for excitation of gases, also radio cookers and weld 
ing equipment. The welding equipment industry has been granted
several extensions of the effective date of the application of part 18 to
permit reduction of the emission of interfering signals to the permitted
limits.
150 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
The Laboratory Division has maintained contact with the industrial
heating industry, having representation on a number of committees
of the American Institute of Electrical Engineers and the Institute
of Radio Engineers. Standards of measurement techniques and inter 
ference reduction procedures are presently under consideration by
these committees.
Diathel"Illy apparatus used for medical therapy involves a large
number of units of identical type. During the fiscal year manufac 
turers made 50 submissions of models for laboratory type testing. Ap 
proval was recommended for 26 types found to meet the Commission's
requirements.
The steps taken to control radio interference from noncommunica 
tion users of radio devices are of great importance not only to the
rapidly developing television service and other civilian radio com 
munication services but are also a great protection to the frequencies
utilized by the armed services. This aspect merits particular con 
sideration in view of the importance of the industrial heating devices
to production of military material.
STRATOVISION
The Laboratory Division made observation and measurements of
the television transmissions made from aircraft flying at high alti 
tudes in experiments by the Westinghouse Electric Corp., in coopera 
tion with the Glenn L.Martin Co.
SERVICES OTHER THAN BROADCASTING
Studies and observations both in the laboratory and in the field
were. made on the problem of intermodulation which severely limits
the use, in the same geographical area, of a large number of stations
employed in the various mobile services on the frequencies near 150
megacycles. A number of types of equipment were tested and the
prohlems pointed out to the equipment manufacturers.
The effect of assignment of 540 kilocycles or other lower extension
of the standard broadcast band upon the operation of existing auto 
alarm (distress) receivers on shipboard was subject to laboratory
investigation in conjunction with certain measurements in the field
by the Field Engineering and Monitoring Division. As a result of
these studies the limitation upon the use of these additional frequen 
cies was delineated.
A number of proposed units for distress use on radiotelephone
equipped ships were tested during the year. Several units for this
purpose were designed and constructed by the laboratory and fur 
nished the Marine Radio and Safety Division for field testing.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 151
PROPAGATION
The laboratory operated a 400-megacycle transmitter at Dans Rock,
near Frostburg, Md., for several months during the summer and fall
of 1948 and May and June 1949. Recordings were made at Laurel,
and other measurements at fixed and mobile locations. These find 
ings add gTeatly to the information so far available regarding the
interference conditions at distances of the order of 125 miles On fre 
quencies near the low end of the proposed UHF television band.
In addition, the laboratory made both laboratory and field observa 
tions of the 500 megacycle and 850 megacycle transmissions made by
RCA in the Washington area.
CALIBRATION OF APPARATUS
The Field Engineering and Monitoring Division uses a large
amount of technical equipment. The Laboratory Division must cali 
brate this apparatus for accuracy. For this purpose the laboratory
must maintain its own instruments in a highly accurate state. In
addition, some equipment used by others in obtaining data submitted
in applications was compared on the accuracy of the measurements.
These latter tests covered only items for which the National Bureau
of Standards WllS not prepared to calibrate at the time. During the
year 3 field intensity sets and 12 signal generators were calibrated.
[ Page 152 in the original document is intentionally blank J
APPENDIX
1. FIEI,D OFFICES
2. PUBLICATIONS
3. TREATIES AND OTHER INTERNATIONAL AGREEMENTS
I. FIELD OFFICES
The Commission h"s 10 field officps and ""sociated installations in
more than 50 cities throughout the United States. including Alaska,
Hawaii, and Puerto Rico. The great majority (64) are engaged in
engineering' pllrsuits and consists of 9 relZional offices, 23 district
offices, 6 suboffices, 3 ship offices, 20 monitoring stations. and 3 com 
mon carrier offices. The Bureau of Accounting has 4 field offices and
the Bureau of Law, 2. A complete list follows:
BUREAU OF ENGINEERING
FIELD ENGINEERING AND MONITORING DIVISION
Regionalotfl;ces HeatlquartN'R
North AtI8ntic fiOR Fpderal Blclg., New York 14. N. Y.
Sonth Atlantic 411 FPderal Annex, Atbmta a, Ga.
Gulf States~~'2n. R. Appraisers Rldg.. Houston 11. Tex.
South Pacific . 323 A Cnstomhousf'. San FranC'iseo 2R. Calif.
Xorth Pacifl.c . ROl Federal OfficpBld~.. Seattle 4, "Tash.
Central States R76 U. S. Courthouse Rld.e-., Chicfig"o 4. Ill.
Great Lnkes ]029 New Federal Bldg'., Detroit 26. Mich.
Hawaiian p. O. Box 1142, Lanikai, Oahu, T. H.
Alasknu 52 Post Office and Courthouse, Anchorage, Alaska.
Di8trict offices Address
L . ]600Cll~tomhollse,Boston n. Mas!'!.
2 74R FPderalB1d~.,New York 14, N. Y.
3 . 1001) u.~.CUSltomhollRe, Philadelphia 6. Pa.
4 50S Old Town Bank Bldg.• Baltimore 2, :Md.
5 402 New Post OtftCf' RIOg'oO Norfolk 10, Va. (ship
office) 106 Post OfficeRld~.,Newnort Npws. Va.
6 411 Fer'leral Annpx, Atlanta 3, Ga. (suboffice)
214~218Post Office Bldg., Savannah. Ga.
7 312 Federal Blrlg.• Miami 1, Fla. (snbofllce) 409-
410 Post Office Bldg.• Tnmna 2, Fla.
8 . 400 Allduhon RIng., New Orleans 16, La. (sub.
office) 324 Courthouse & Customhouse. Mobile
10. Ala.
9 . 324 U. S.Annralser~BIrlg.• Houston 11. Tex. (sub-
office)~?9Po!'!t Office RIng., Rpaumnnt, Tex.
(ship office) 406 Post Office Bldg., Galveston,
Tex.
10 1)00 U. S. Terminal Annex Bldg., Dallas 2, Tex.
153
154 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
11 539 U. S. Post Office & Courthouse Bldg., Los An-
g-eles 12, Calif. (suboffice) 230 U. S. Custom·
house and Courthouse, San Diego 1. Calif.,
(ship office) 326 U. S. Post Office and Court 
house, San Pedro 1, Calif.
12 323-A Customhouse, San Francisco 26, Calif.
13 307 Fitzpatrick Bldg" Portland 5. Oreg.
14 801 Federal Office Bldg., Seattle 4, Wash.
15 521 Customhouse, Denver 2, Colo.
16 208 Uptown Post Office and Federal Courts Bldg.,
St. Paul 2, Minn.
17 3200 !i'idelity Bldg., Kansas City GE, :Mo.
18~246 n. S. Courthouse, Chicago 4, Ill.
19 1020 New Federal BlOg., Detroit 26, Mich.
20 . 328 Federal Bldg., Buffalo 3, N. Y.
2L . 609 Stangemvald Bldg., Honolulu 1, T. H.
22 . 322-323 Federal Bldg., San .luan 13, P. R.
23 . 7-8 Rhattuck Bldg., Juneau, Alaska (suboffice) 53
Post Office and Courthouse, Anchorage,
Alaska.
Prim(lry. monitoring sta.tions
AllegaI1, Mich.
Grand Island, Nebr.
Kingsville, Tex.
Millis, Mass.
Santa Ana, Calif.
Laurel, Md.
Livermore, Calif.
Portland, Oreg.
Powder Springs, Ga.
Lanikai, Oallll, T. H.
8econdara monitoringstatialt&
Searsport, :Maine
North Scituate, R. I.
Spokane, 'Vash.
Twin Falls, Idaho
]'ort LaUderdale, Fla.
I.exington, Ky.
Muskogee, Okla.
Bay St. Louis, Miss.
Anchorage, Alaska
Point Maldonado, P. R.
COMMON CARRIER DIVISION }'IELD OFFICES
Atlanta, Ga., 515 First :Kational Bank Bldg.
New York, N. Y., 604 Federal Office Bldg.
San Francisco, Calif., 316 U. S. Customhouse.
BUREAU OF ACCOUNTING FIELD OFFICES
Atlanta, Ga., 733 Hurt Bldg.
New York, N. Y., 624 Federal Office Bldg.
St. Louis, Mo., 334 Old Customhouse.
San Francisco, Calif., 316 U. S. Customhouse.
BUREAU OF LAW FIELD OFFICES
New York, N. Y., 604 Federal Office Bldg.
San Francisco, Calif., 100 McAllister St.
2. PUBLICATIONS
In general, the Federal Communications Commission's printed
publications are sold by the Superintendent of Documents, Govern 
ment Printing Office, Washington 25, D. C.
Following is a list of Commission publications which are available
from the Superintendent of Documents, at the prices noted, unless
otherwise indicated:
Title Price
Communications Act 01' 1934, with amendments and index, revised to
September I, 1948 $0.20
Federal Communications Commission reports (bound volumes of decisions
and orders exclusive of annual reports) :
Volume 2, July 1935 to JUne 1936________________________________ 2. 00
Volume 3, .Tuly 1936 to February 1937____________________________ 2.0()
Volume 4, March 1937 to Nov. 15, 1937____________________________ 1.50
Volume 5, Nov. 16, 1937 to June 30, 1938__________________________ 1.50
Volume 6, July 1, 1938 to Feb. 28, 1939____________________________ 1.50
Volume 7, Mar. I, 1939 to Feb. 29, 1940____________________________ 1. 50
Volume 8, Mar. 1, 1940 to Aug. 1, 1941-___________________________ 1.50
Volume 9, Aug. I, 1941 to Mar. 31, 1943____________________________ 1.25
Volume 10, Apr. I, 1043 to June 30, 1945__________________________ 2.00
Volume 11, July I, 1945 to June 30, 1947____________________________ 3. 75
Volume 12, July I, 1947 to June 30, 1948___________________________ (')
Annual reports of the Cotnmission:
First Annual Report-Fiscal year 1935___________________________ .15
Twelfth Annual Report-Fiscal :rear 1946________________________ . 20
Thirteenth Annual Report-Fiscal year 1947______________________ .25
Fourteenth Annual Report-Fiscal year 1948~____________.30
Fifteentb Annual Report-Fiscal year 1949________________________ (')
Statistics of the Communications Industry:
For the year 1939_______________________________________________.2~
For the year 1940_______________________________________________ .20
For the year 1942_______________________________________________ .35
For the year 1943_______________________________________________ .30
For the year 1944_______________________________________________ .40
For the year 1945_______________________________________________ .50
For the year 1946_______________________________________________ .55
For the year 1947 (sections A and B) .75
Section B (Broadcast only) .25
Report on Public Service Responsibility of Broadcast Licensees, 1946____ .25
An ABO of the FOO, 1949____________________________________________ . 05
Radio-a Public Primer_____________________________________________ .10
Telephone and Telegraph-a Public Primer, 1949______________________ . 10
An Economic Study of Standard Broadcasting, 1947____________________ .40
1 In tbe process ofprJntJng~availab]eat GoVel'DIJlent Printing Office at a later date.
155
156 REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION
Pag6
.15
.20
(' )
.15
('j
.10
.45
.05
.10
(')
.15
.10
.10
.10
.15
.05
.10
.05
.05
(')
.10
.10
.05
Title
Study Guide and Reference Material for Commercial Radio Operator
Examinations, revised to July 1, 1948 $0.25
Digest of Radio Regulations and Instructions for Restricted Radiotele-
phone Operators__________________________________________________ .05
Standards of Good Engineering Practice:
Concerning Standard Broadcast Stations, revised to Oct. 30, 1947____ 1.00
Section 26, Sunrise and Sunset Table________________________ .10
Concerning FM Broadcast Stations, revised to Jan. 9, 1946__________ .10
Concerning Television Broadcast Stations, revised to Dec. 19, 1945___ .15
RUles and Regulations:
Part 0, Organization, Delegations of Authority. etc _
Part 1, Practice and Procedure, revised to Jan. 26, 1949 _
Part 2, Frequency Allocations and Radio Treaty Matters; General
Rules and Regulations, revised to Apr. 27, 1949 _
Part 3, Radio Broadcast Services, revised to Jan. 6, 1949 _
Part 4, Experimental and Auxiliary Broadcast Services, etIective
Sept. 10, 1946 _
Part 5, Experimental Radio Services, revised to Jan. 16, 1948 _
Part 6, Public Radiocommunication Services, revised to Apr.
27, 1949_______________________________________________________ .10
Part 7, Coastal and Marine Relay Services, revised to Sept.
30, 1945 _
Part 8, Ship Service, revised to :May 31, 1943 _
Part 9, Aeronautical Services, revised to Julyl, 1947 _
Part 10, Public Safety Radio Services, revised to Apr. 27, 1949 _
Part 11, Industrial Radio Services, revised to Apr. 27, 1949 _
Part 12, Amateur Radio Service, revised to Nov. 18, 1948 _
Part 13, Commercial Radio Operators, revised to ::\la1'. 30, 1949 _
Part 14, Radio Stations in Alaska (other than amateur and broad-
cast), revised to Apr. 2, 1942 _
Part 15, Restricted Radiation Devices, recodified July 21, 1948 _
Part 16, Land Transportation Radio Services, revised to Apr. 27, 1949_
Part 18, Industrial, Scientific and Medical Service, revised to Apr.
30, 1948 _
Part 19, Citizens Radio Service, effective June 1, 1949 _
Part 31, Uniform System of Accounts for Class A and Class B Tele-
phone Companies, revised to May 12, 1948_______________________ .35
Part 33, Uniform System of Accounts for Class C Telephone Com 
panies, revised to May 12, 1948________________________________ .25
Part 34, Uniform System of Accounts for Radiotelegraph Carriers,
effecth'e Jan. I, 1940__________________________________________ .25
Part 35, Uniform System of Accounts for Wire-telegraph and Ocean-
cable Carriers, revised to Aug. 1, 194L _
Part 41, Telegraph and Telephone Franks, revised to Dec. 4, 1947 _
Part 42, Preservation of Records, revised to May 27, 1943 _
Part 43, Reports of Communication Common Carriers and Their
Affiliates, revised. to July 21, 1948 _
Part 51, Classification of Telephone Employees, effective July 25, 1944
Part 52, Classification of Wire-telegraph Employees. etIective July
11. 1944______________________________________________________ .05
1I Obtainable fJemporar.lly from the Federal CommunlcatloDS CommIssion, Washington 25,
D. C.. without charge.
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 157
Title Page
Rules and Regulations-Continued
Part 61, Tariffs, Rules Governing the Construction, Filing and
Posting of Schedules of Charges for Interstate and ForeignCom~
munications Service, revised to Aug, 1, 1946 $0. 10
Part 62, Applications under Section 212 of the Act to Hold Inter-
locking Directorates, revised to May 23, 1944-___________________ .05
Part 63, Extension of Lines and Discontinuance of Service by Carriers,
revised to Dec. 30, 1946_________________________________________ (')
Part 64, Miscellaneous Rules ReInting to Common Carriers, revised
to July 16, 1948________________________________________________ .10
Purchasers of the Commission's Rules and Regulations are fur 
nished a form by the Superintendent of Documents which, when
filled out and forwarded to the Commission, entitles the purchaser to
receive any future amendments to the part or parts purchased, until
a complete revision thereof is reprinted. In the event any exception
is made in this procedure, rule purchasers will be advised by letter
where the amendments may be obtained. All Standards of Good
Engineering Practice and most of the rule parts are printed on 8-by 
lOy,,-inch pages and punched to fit standard three-ring binders.
The Commission is no longer able to supply lists of radio stations
but, on request, will furnish a fact sheet about commercial sources of
such lists, also one on commercial radio publications and services.
~Obtainable t"mporarily from the Federal Communications Commission, Washington 25,
D. C., without charge.
3. TREATIES AND OTHER INTERNATIONAL AGREEMENTS
Federal laws, international treaties, arrangements, agreements, etc.,
which were in force as of January 1, 1949, are listed below for refer 
ence. Unless otherwise indicated, copies of these documents may be
purchased from the Government Printing Office, Washington 25,
D. C. (TS relates to Treaty Series, EAS to Executive Agreement
Series, and TIAS to Treaties and Other International Act Series.)
1945_. TrAS 1518 _
1946 •• TIAB 1553 _
1946 • TrAB 1527._._
1947 ._. TIAS 16.52 _
1941__ ••• TrAB 1676 __ ._
1948_ •••_••••_, TrAB 1802 _
1940 . EAS 196__ • _
1941._____ EAS 227 _
1944 • • EAS 400 ,_
1945 ._
Date
1910 _
1925 ••• _
1928--29_ • _
1929 • _
1929__ • _
1930__ • _
1934 _
193-L __
193-L _.
1937. _
1937. _
1937. __
HI38 _
1938 _
1938 • _
1939 _
1940 _
19·'-7 _
1947 . __
1947__ • _
Series
TS 7M-A _
TS 767-A .• _
TS 777-A _
TS 910 _
TS 921- _
EAS 62 _
RAS 66 _
EAS 72. _
EASllR
TS 962 _
TS 938 _
EAS 142. ,-
TS 919. _
EAS 136 _
EAS 143 _
EAS 231-- _
TIAS 172tL._
TrAS 1670 _
Subject
Ship Acto!19tO as amended in 1912. (Radio communication on the Great
Lakes.)
Arrangement with Great Britain, Canada, and Newfoundland to prevent
broadcast Interference by ships.
Arrang-ement with Canada concerning Private eXPerimental communi 
cation.
Arrangement with Canada, Cuba, and Newfoundland relating to high 
frequencvassirnments.
Safety of Life a(8ea Convention (London).
Amendment to Regulation XIX of Annex 1 of Safety of Life at Sea. Con 
vention.
Arranr;ement with Canada concerning amateur and private experimental
communication.
Arrang-ement with PerU concerning amateur communication.
Same, with Chile.
Agreement with Canada eonC(',fning issuance of radiolieen~es.
North American Regional Broadcasting Agreement (Havana).
Inter-American Radio Communications Convention (Fin;t Inter-Ameri·
can Conference, Havana).
Ar;reement with Canada concerning radiocommunications between
Alaska and British Columbia.
Re<;ional Radio Conventiol\ (Onatemala-in behalf of the Canal Zone).
Arran!':ement with Canada concerning broadcasting.
Arrangement with Canada concerninl!: civil aeronautical Services.
Inter·American RadiocomIilunicatiOIlS Agreement (Second Inter·Ameri·
can Conference, Santiago, Chile).
Agreement with Mexico concerning broadcasting.
Supplementary North American Regional Broadcasting Agreement
(Washington).
Wartime agreement with Canada re broadcasting stations in Nortbwest 
ern Canada.
Inter-American Telecommunications Convention (Tbird Inter-American
Conference, Rio de Janeiro). (Not yet ratified by United States.)
(Not available from Government Printinl!: atTice.)
Teleeommunicat.ions agreement witb certl\in governments of the Britisb
Commonwealth (Bermuda).
Nortb American Regional Broadcasting Interim Agreement (Modus
Vivendi). Washinfct;on.
Agreement with U. S. S. It. concerning commercial radio teletype com·
munication cbannels.
Agreement wJth Canada conct'J'llinK FM broadcasting in 88-108 Me.
Interim arrangement witb Canada eoncerninl!: mobile transmitters.
International TelecommunicatlOn and RadiO Conferences, Atlantic City.
(Copies available through International TelecommunICation Union,
Geneva, Switzerland, pending printing by the Government Printing
Office.)
ARreement witb Great Bntam concerning standardizatIOn of distance
mea.'luring equipment.
Agreement with the United Nations ooncerning its headquarters' use of
radio.
Arrangement with Canada on engineering standards applicable to alloca 
tion 01 standard broadcast stations.
158
REPORT OF THE FEDERAL COMMUNICATIONS COMMISSION 159
In addition, the United States is hound by certain treaties wherein
some of the contracting countries did not become parties to subS€quent
agreements, thereby binding the United States to the original docu 
ment. These include:
Dare Series
1912~_____TS 58L __
1927.____ 'fS 767 _
1932____ TS 867.
1937._____ EAS 200
1938____ TS 948.
Subject
International Radiotelegraph C<Jfivention (London).
International Radiotelegraph Convention Bnd General Regulations
(\\Tashington).
General Radio Regulations annexed to the International Telecommuni 
cations Convention (Madrid).
Inter-American Arrangement concerning Radlocommunications and
Annex (Havana).
General Radio Re!,,:ulatlons (Cairo Revision, 1938); annexed to Tele 
communications ConveutitiIl (Marlrid, 1932).
There are also some treaties, agreements, or arrangements primarily
concerned with matters other than the use of radio but which affect
the work of the Commission insofar as they involve communications.
Among the most important of these are the following:
TIAS 1591_
Date
1944 _
1946 _
1946 _
1946____ I
1947 _
1948. •
1949. __ __
1949 _
Series Subject
International Civil Aviation Agreement, Chicago.
LOAD COilllmmication Division, Second session, Montreatt
Special Hadio Technical Meeting, Montreal.
l
{
ICAD Regional Air Navigation Meetings, Communications Committee.
----- Final Reports.J
IOAO Communication Division, Third Session, Montreal.
1
I Available from Secretary General of IOAO, Dominion Square Bldg., Montreal, Cannda.
o