Saturday, June 30, 2012

June 30, 1921: The Establishment of RCA


June 30, 1921: On this day, Radio Corporation of America, known as RCA, formally established. In the future, RCA becomes the rival of General Electric (GE)

To devote radio technology for the war effort, In 1917 the U.S. Government took charge of the radio's manufacture company's patents. Although the Federal Government stopped the monopoly of Radio Communication, but The War and Navy Departments still want to build a national radio system for the United States. Admiral W. H. G. Bullard and Captain Stanford C. Hooper talked to executives of the General Electric Corporation (G.E.) and asked them to cancel the sale of high power radio transmitter to Marcony Company.

Government gift an offer a monopoly of long distance radio communications via G.E if they committed build a radio company that would be owned by the State. That was the start of negotiations between government and GE, thus G.E. bought the American Marconi company and collaborated with them to build Radio Corporation of America

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