United States Telephone Herald Company

United States Telephone Herald Company

Company type	Private
Industry	Telecommunications, Audio distribution
Founded	1909
Founder	Cornelius Balassa (patent rights), Manley M. Gillam (president at incorporation)
Defunct	1918
Fate	Delaware charter revoked due to unpaid taxes
Headquarters	New York City , United States
Area served	United States
Key people	Manley M. Gillam (president), William H. Alexander (secretary and treasurer), Cornelius Balassa (director)
Products	Telephone newspaper services ("telectrophone")

The United States Telephone Herald Company, established in 1909, functioned as the parent organization for several "telephone newspaper" enterprises throughout the United States, with the goal of providing subscribers with news and entertainment transmitted via telephone lines. This initiative was the most extensive distributed audio service endeavor prior to the emergence of radio broadcasting in the early 1920s.

While more than a dozen affiliated companies were incorporated, only two systems were commercially launched—one located in Newark, New Jersey (New Jersey Telephone Herald, operational from 1911 to 1912) and another in Portland, Oregon (Oregon Telephone Herald, active between 1912 and 1913). Both ventures terminated shortly after their inception due to financial and technical obstacles.

The company's operations reached their height in 1913 but ultimately halted; its Delaware charter was officially revoked in early 1918.

Company history

The United States Telephone Herald Company originated as a licensed extension of Budapest's Telefon Hírmondó, an audio distribution service delivering news and entertainment through telephone wires since 1893. Following a visit to Hungary, Cornelius Balassa secured U.S. patent rights; it is also reported that the company held patents for Canada and Great Britain, while a separate entity managed Italy's Araldo Telefonico starting in 1910.

Initially incorporated in New York under the name "Telephone Newspaper Company of America" in 1909, with Manley M. Gillam as president, William H. Alexander serving as secretary and treasurer, and Cornelius Balassa among its directors, it underwent reorganization in March 1910 as the Delaware-chartered "United States Telephone Herald Company."

A demonstration conducted at the New York headquarters in September 1910 featured equipment akin to that used by Budapest’s system. Due to the absence of vacuum tube amplification, announcers known as "stentors" projected their voices loudly into two microphones simultaneously, while subscribers listened through headphones rather than loudspeakers. On February 14, 1911, patent US984235 was awarded for "a telephone system... supplying innumerable subscribers general news, musical compositions, operas, sermons," which was assigned to this company.

To operate local "telephone newspaper" services, regional affiliates were formed with the parent company collecting royalties for each installed receiver. However, financial challenges eventually led to cessation of activities; the Delaware charter was rescinded on January 28, 1918, due to unpaid corporate taxes.

Telephone Herald associate companies

At least twelve associate companies under the Telephone Herald umbrella were created, but only two succeeded in launching telephone newspaper operations: the New Jersey Telephone Herald (1911–1912) and the Oregon Telephone Herald (1912–1913). These services were occasionally referred to as "telectrophone."

Each affiliate was incorporated at the state level and managed by local proprietors. Subscription fees generally amounted to five cents daily, roughly equivalent to the cost of a daily newspaper during that era. The majority of these associate companies never advanced beyond promotional or demonstration phases.

Early marketing materials mentioned intended deployments in Chicago, Scranton, and Montreal; however, these systems never came to fruition. A 1912 advertisement also listed prospective affiliates in New York, Chicago, New Orleans, Seattle-Tacoma, Columbia (British Columbia and Alberta), Los Angeles, and Oakland, though no further documentation is available regarding their establishment.

New Jersey Telephone Herald Co. (Newark)

The New Jersey Telephone Herald holds the distinction of being the earliest and most prominently recognized affiliate to commence commercial telephone newspaper operations. Founded in October 1910 by Eugene Gorenflo, Duncan McIsaac, and Nicholas J. Surgess, the company initially encountered opposition from the New York Telephone Company, which declined to lease its lines until the Public Utility Commission intervened.

News readers, known as stentors, were selected through a competitive process prioritizing clear enunciation and a rich vocabulary. Four stentors rotated in 15-minute intervals to provide continuous coverage during the day.

The service began in October 1911, delivering broadcasts to fifty receivers located in a department store and reaching 500 households across Newark. Its main offices were situated in the Essex Building on Clinton Street, with Condit S. Atkinson overseeing the news division.

Demand for the service quickly surpassed capacity, with programming featuring original "Trippertrot" tales authored by local writer Howard R. Garis, which were later compiled into two book volumes.

Despite initial enthusiasm, ongoing technical difficulties and financial setbacks caused operations to halt in February 1912 after employees staged walkouts due to unpaid wages. A brief revival occurred in May under new management—Percy Pyne as president, William E. Gunn as vice-president and general manager, C. E. Danforth serving as secretary-treasurer, and Atkinson returning as editor. Rebranded as the "telectrophone" in November 1912, the service ultimately discontinued by the end of that year.

One significant obstacle was the incompatibility of Newark’s twisted pair telephone lines with those employed by Telefon Hírmondó, contributing heavily to operational challenges. The company’s charter was officially nullified on January 18, 1916.

Oregon Telephone Herald Co. (Portland)

Following New Jersey’s lead, the Oregon Telephone Herald Company became the second enterprise to offer a sustained telephone newspaper service but swiftly encountered financial hurdles. Incorporated within Oregon and based at 506 Royal Building in Portland, it commenced demonstration broadcasts in May 1912 with plans for commercial launch set for October.

By January 1913, the company was actively recruiting home subscribers for "The Talking Newspaper and Amusement Purveyor," which operated daily from 8:00 AM until midnight. Later renamed the "Te-Lec-Tro-Phone," it began providing live reports of local Portland Beavers baseball games starting in April. However, a representative from the Northwestern League contended that these broadcasts diminished game attendance and advocated for prohibiting such systems at ballparks. In May, a promotional campaign offered complimentary election result transmissions at twenty-five business venues, while the Portland Hotel promoted access to baseball updates, business news, and other information during dining hours.

An organizational restructuring took place early in 1913; parent company officials including chief electrical engineer Árpád Németh visited in March to offer technical assistance. Despite these efforts, financial difficulties persisted. During summer 1913, Oregon Corporation Commissioner R. A. Watson invoked the state’s "Blue Sky Law" to prohibit the company from continuing operations, citing impracticality despite its honest intentions and initial popularity. The last advertisements appeared in June 1913, and failure to submit required reports or pay fees led to revocation of the corporate charter in January 1917.

Other affiliated companies

None of the ten additional Telephone Herald affiliate firms proceeded to launch their intended telephone newspaper services, despite various stages of planning and activity.

Boston Telephone Herald Syndicate, Inc.

Formed in Massachusetts on April 23, 1913, with Ladislaus de Doory as president, John M. Grosvenor, Jr. serving as treasurer, and Jesse W. Morton involved. De Doory also acted as a promoter for the parent organization. The syndicate failed to produce notable advancements or conduct demonstrations and was officially dissolved on February 21, 1916.

California Telephone Herald Co. (San Francisco)

Based in San Francisco and established in February 1911 by G. S. Holbrook, W. A. Whelan, among others. Demonstrations took place in September 1911 at the Head Building; however, no subsequent development occurred. The company’s charter was revoked in February 1915 due to unpaid taxes.

Central California Telephone Herald Co. (Sacramento)

Incorporated in February 1912 by C. J. Ward, F. W. Bresse, and S. H. Whisner. Demonstrations commenced on April 1, 1912, from the Elks' Building. Initially planning to lease the Diepenbrock Theater for broadcasts, the company later opted for a merger with Pacific Telephone Herald Company toward the end of 1913. The telephone newspaper never launched operations, and its charter was rescinded in February 1915 for tax delinquency.

Massachusetts Telephone Herald Co.

Chartered in Delaware in August 1912 by R. R. Cooling, C. J. Jacobs, and H. W. Davis from Wilmington, Delaware; no further business activities are recorded before its charter was annulled on January 24, 1916.

Pacific Telephone Herald Co. (Oakland, California)

Incorporated in California, this company conducted demonstrations at H. C. Capwell Company's Store between February and at least April 1913. Early offices were situated within the Union Savings Bank Building in Oakland. Later incorporation under C. F. Homer (president), Charles Smith (treasurer), and B. F. Hews (editor) was noted at 1751 Franklin Street by late 1913.

The firm suffered leadership setbacks with the deaths of secretary-treasurer J. Whited in September 1913 and president William Angus in a mining accident during October 1914. Initially, Pacific Telephone and Telegraph Company declined to lease telephone lines to them, leading to a complaint filed with the California Railroad Commission; this dispute was resolved through a settlement by November 1913.

In November of that year, the company revealed plans for extensive growth by securing operational rights across twenty-one western states and large parts of southwestern Canada, followed by a merger with Central California Telephone Herald Company of Sacramento the next month. Despite these ambitions, regular service never commenced and the state charter was forfeited on March 4, 1916 due to failure to pay license taxes.

Pennsylvania Telephone Herald Co. (Philadelphia)

Incorporated in Delaware on December 30, 1911 by Frank Vernon, Ivor B. Blaiberg, and Albert D. Miller (also reported as E. B. Waples, W. W. Day, and F. R. Janvier). Although corporate activity was minimal during 1912-1913, no meaningful progress was achieved; its charter was revoked on January 25, 1917 following two years of unpaid taxes.

San Diego Telephone Herald Co.

Established in California in August 1911 by H. A. Schmidt (president), M. N. Schmidt, and G. Stephens, this company was modeled after a successful counterpart in San Francisco. Although advertising efforts were made in late 1911, the enterprise never launched operations and ultimately lost its state charter on November 30, 1912.

San Francisco Telephone Herald Co.

This represented the second Telephone Herald entity based in San Francisco, incorporated in California on October 29, 1912. Its founding board comprised W. H. Dohrmann, J. F. Dohrmann, A. J. Beecher, F. W. Beecher, Thomas R. White, C. E. Youngblood, Rudolph Schlueten, Clarence Eppstein, and E. L. Manner.

Initial demonstrations were conducted at 687 Market Street in early January 1913; however, no subsequent progress was made. The company forfeited its charter on November 30, 1913 due to nonpayment of state license taxes.

Southern California Telephone Herald Co. (Los Angeles)

Among the earliest affiliated companies, it quickly collapsed amid fraudulent activity. Chartered in California in May 1911 under Peter Archbold Gordon Grimes, who embezzled company funds and was later discovered impersonating an aviator in Hawaii. The corporation’s charter was revoked on November 30, 1911 for failure to remit the required state license tax.

Washington Telephone Herald Co. (Seattle)

Capitalized with $500,000 in common stock and incorporated in Washington state in June 1911, this affiliate’s leadership included Sherwood Gillespy (president), B. J. Klarman (vice president), and N. R. Solner (secretary/treasurer). Despite holding demonstrations at its headquarters in the Henry building, the firm encountered financial troubles and entered receivership by October 1911 following disputes over employee wages. Its charter was cancelled between October 1912 and September 1914 due to unpaid annual state license fees.

Legacy

Early American ventures into telephone-based news and entertainment distribution—such as Michigan’s Tellevent (1906–1908) and Chicago’s Automatic Electric Company with its Musolaphone system (1913)—achieved no greater success than the Telephone Herald enterprises.

By comparison, European services like Hungary’s Telefon Hírmondó and Italy’s Araldo Telefonico persisted into the 1920s by integrating with emerging radio broadcasting technologies. The U.S.-based Telephone Herald initiatives marked the last significant attempt to provide nationwide audio content through telephone networks. Despite consumer interest, inherent technical challenges—including absence of signal amplification, dependency on telephone infrastructure, and exclusive headphone listening—rendered the business model financially unviable.

Within ten years of their demise, radio broadcasting arose as a dominant medium that eliminated reliance on telephone lines altogether. Radio’s capacity to deliver complimentary programming supported by advertising revenue established a more enduring commercial framework in the United States.