Edison, Thomas A. (Thomas Alva), 1847-1931; Inventors -- United States -- Biography
At this juncture a large part of the correspondence referred very
naturally to electric lighting, embodying requests for all kinds of
information, catalogues, prices, terms, etc.; and all these letters were
turned over to the lighting company by Edison for attention. The company
was soon swamped with propositions for sale of territorial rights and
with other negotiations, and some of these were accompanied by the offer
of very large sums of money. It was the beginning of the electric-light
furor which soon rose to sensational heights. Had the company accepted
the cash offers from various localities, it could have gathered several
millions of dollars at once into its treasury; but this was not at
all in accord with Mr. Edison's idea, which was to prove by actual
experience the commercial value of the system, and then to license
central-station companies in large cities and towns, the parent company
taking a percentage of their capital for the license under the Edison
patents, and contracting also for the supply of apparatus, lamps, etc.
This left the remainder of the country open for the cash sale of plants
wherever requested. His counsels prevailed, and the wisdom of the policy
adopted was seen in the swift establishment of Edison companies in
centres of population both great and small, whose business has ever been
a constant and growing source of income for the parent manufacturing
interests.
From first to last Edison has been an exponent and advocate of the
central-station idea of distribution now so familiar to the public mind,
but still very far from being carried out to its logical conclusion.
In this instance, demands for isolated plants for lighting factories,
mills, mines, hotels, etc., began to pour in, and something had to be
done with them. This was a class of plant which the inquirers desired to
purchase outright and operate themselves, usually because of remoteness
from any possible source of general supply of current. It had not been
Edison's intention to cater to this class of customer until his broad
central-station plan had been worked out, and he has always discouraged
the isolated plant within the limits of urban circuits; but this demand
was so insistent it could not be denied, and it was deemed desirable to
comply with it at once, especially as it was seen that the steady call
for supplies and renewals would benefit the new Edison manufacturing
plants. After a very short trial, it was found necessary to create
a separate organization for this branch of the industry, leaving the
Edison Electric Light Company to continue under the original plan of
operation as a parent, patent-holding and licensing company. Accordingly
a new and distinct corporation was formed called the Edison Company for
Isolated Lighting, to which was issued a special license to sell and
operate plants of a self-contained character. As a matter of fact such
work began in advance of almost every other kind. A small plant using
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