The United States Government were duly notified of the stoppage of the work by the Western Union Telegraph Company, to which the Secretary of State wrote the following reply:—
I am not one of those who have been disappointed by the complete and magnificent success of the International Atlantic Telegraph.
I regard it as tributary to an expansion of our national commerce, and ultimately to our political institutions, both of which are important forces in the progress of civilization.
I would not have the Atlantic become dumb again if thereby I could immediately secure the success of the Inter-Continental Pacific enterprise which was committed into your hands. Nevertheless, I confess to a profound disappointment in the suspension of the latter enterprise.
I admit that the reasons you have assigned for the suspension seem to be irresistible. On the other hand, I abate no jot of my former estimate of the importance of the Inter-Continental Pacific Telegraph.
I do not believe that the United States and Russia have given their faith to each other and to the world for the prosecution of that great enterprise in vain.
W. H. Seward.
The loss was very great to the enterprising company who had undertaken the responsibility, but everything was paid up without a murmur. The sum expended amounted to $3,170,292.
That the Western Union was enabled to defray this enormous expenditure without in any way impairing its stock value or credit proved the solidity of the Company even at that period of its history.
The friendly intercourse between the American and Russian authorities in connection with their telegraph project was, no doubt, the direct cause of the subsequent negotiations between the two Governments for the sale and purchase of Alaska, the advantages of which the astute Secretary of State, Mr. Seward, became cognizant, and finally consummated the transfer of that territory from Russia to the great Republic.
In the early days of telegraph enterprise the necessity soon became evident that, in order to provide the requisite facilities for public convenience and for the economical employment of capital, the consolidation of the many struggling companies was self-evident. This policy has been carried out effectually by the Western Union Telegraph Company, which gradually absorbed by lease or purchase upwards of fifty concerns from the date of its organization at Rochester, N.Y., to the removal of its offices to New York. In 1866 this Company had virtually absorbed all rival and opposing companies of any importance.
The commanding position reached by the Western Union in 1866, with its growing ramifications covered by 75,000 miles of wire, has steadily advanced until the present. It embraces in its great system over 1,000,000 miles of wire, over 23,500 separate offices, two atlantic cables, a cable to Cuba with connections throughout the West Indies, and close direct connections with all parts of South America. In Canada the Great Northwestern Telegraph Company, which leased the Montreal and Dominion Telegraph Companies, is controlled by the Western Union Telegraph Company. So also is the Nova Scotia and New Brunswick Telegraph Companies.
In 1872, six years after its reorganization, the Western Union owned in
| Pole mileage. | Wire mileage. | |||
| 62,033 | 137,190 | |||
| In 1882 | 131,060 | 374,368 | ||
| ” 1892 | 189,576 | 739,105 | ||
| ” 1902 | 196,115 | 1,029,984 | ||
| In 1872 | it had | 5,237 | offices | |
| ” 1882 | ” | 12,068 | ” | |
| ” 1892 | ” | 20,700 | ” | |
| ” 1902 | ” | 23,567 | ” | |
| In 1872 | it transmitted | 12,444,497 | messages | |
| ” 1882 | ” ” | 38,842,247 | ” | |
| ” 1892 | ” ” | 62,387,298 | ” | |
| ” 1902 | ” ” | 69,373,095 | ” | |
| In 1872 | its receipts were | $ 8,457,095 77 | ||
| ” 1882 | ” ” | 17,114,165 92 | ||
| ” 1892 | ” ” | 23,706,404 72 | ||
| ” 1902 | ” ” | 28,073,095 10 | ||