CO129-471 - Public Offices - 1921 — Page 253

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put to the Cable Companies that they might be well advised, if,

acting more in accordance with the spirit of the times, they were

to show a conciliatory attitude towards wireless competition,

absolute though their existing monopoly might be according to

the letter of their agreements with the Chinese Government. To

these suggestions Sir J.Denison Pender readily responded, and on

March 31st, he addressed a letter to this office stating that the

Cable Companies had decided to open negotiations with the Chinese

Goverment direct on the following lines:-

1. To offer to surrender to China the Companies' wireless

rights in consideration of the following:-

11.

(a) China to leave any future installations of wireless

on her territory open to competition.

(b) Equal privileges to be granted to the companies

as to any wireless company.

(c) China to impose a terminal rate on all wireless

international telegrams corresponding to the terminal

rates chargeable by the Chinese Administration to the

Cable Companies.

Companies:

In view of the long established position of the Cable

(a) that the Companies should be given the opportunity

of tendering for the laying of any additional cables

required by the Chinese.

(b) that the Chinese Telegraph Administration should

prolong the existing working agreements with the

Companies beyond 1930, including the right to work

the contemplated cable to be laid between Shanghai

and Chefoo, and to lay and work on behalf of the

Chinese any additional cables required by the traffic

between Shenghai, Chefoo and Takui,