Tuesday, March 20, 2007

Chapter-Associated Press

The penny press, in the 1830's, had developed a growing demand for timely news. The "Sun" and "Herald" had the financials to rush news via pony express, then via train. Interesting to note that at the same time the telegraph industry was establishing itself, another monopoly was forming. This was the NYAP, the New York Associated Press, a news organization which provided news to major daily newspapers throught the US. The NYAP became the most powerful news service in the country because of its ability to relay European news via telegraph and the seaports in eastern Canada and the ability to control this route due to the papers' vast financial resources. Starr states (p. 175):

"With the triumph of Western Union over its competitors, there developed the first bilateral monopoly in the United States--a monopoly telegraph in close partnership with a monopoly news service."

The penny press created the need for publishers to become more innovative in terms of reporting and receiving interesting news from arenas outside local sources. The Associated Press was one such example of meeting these needs.


At 9:15 PM, Blogger A. Mattson said...

A very good post.

The connection between the rise of the wire services and the consolidation of the telegraph monopoly is important. Competition or cooperation? Progress involves a sharing of risks and major investments in a communications network. How was Western Union a good solution for a creating a national telegraph system? In what ways would a nationalized telegraph system have been better?


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