The Making of American Industrial Research: Science and Business at GE and Bell, 1876–1926

by Leonard S. Reich

This book tells the story of how and why industrial research was established in America by two large and innovative corporations: General Electric, formed in a merger of Edison General Electric and Thomson-Houston in 1892, and the dominant force in the American electrical industry ever since; and American Telephone and Telegraph, the commercial outgrowth of Alexander Graham Bell's invention of the telephone. Important lessons can be drawn from the early efforts of these two corporations. Through industrial research - and particularly through the development of patented products and processes - large companies could begin to exert a new degree of market control by strongly influencing the rate and direction of technological change. The development of industrial research also had a profound impact on science and technology in America. It affected the content and methods of both by providing new opportunities, incentives, and constraints to the growing community of students and engineers.

Genres: History

328 pages, Paperback

First published November 1, 1985

About the author

Leonard S. Reich is a Professor of Administrative Science and of Science, Technology and Society, Emeritus at Colby College, in Waterville, Maine. He has an undergraduate degree in Mechanical Engineering and a Ph.D. in the History of Technology from Johns Hopkins University.

Reviews

[Chris]

Speaking as a scientist working in industry, I think this is a top notch overview of how science in industry has functioned in the past.

[Yisu Z.]

分析了两个标志性的公司：GE和Bell。从他们的发展看公司in-house研究的变化。两个在当时都能算是典型的技术公司。专利以及发展对他们而言是非常重要的抵御竞争的武器。不过对于技术的描写比较简单，贝尔实验室后来那些天才的发明都没有提及。

[Mark Bowles]

A. Summary: This book examines how industrial research was established by 2 large corporations. GE formed from a merger of Edison General Electric and Thomas-Houston Electric in 1892. AT&T was the commercial outgrowth of Alexander Bell’s invention of the phone. They both entered into industrial research because it helped to protect their dominance over technology (incandescent lamp and telephone). What is important about these examples are that through patent control these large businesses could dictate how technology would change. Thesis: The IRL gave the corporation more power to control the market by developing and protecting new technologies.
B. The importance of industrial research
1. What is industrial research?
a) Laboratories set apart from production facilities
b) Staffed by people trained in science and engineering
c) The laboratories are protected from short term demands yet are responsible for long term company needs
2. What was the effect of industrial research labs on business: Increased productivity, competitive advantage against other companies, control of technical change, the progressive image of science and technology was linked to business
3. What was the effect of industrial research labs on science and technology: Provided direction for study, provided a new career path, no teaching or directing students, the creation of “high technology” (science+engineering) to create everything from computers to wonder drugs
C. The context; reasons for forming industrial research laboratories in the 19th
1. Technology was becoming more complex in the late 19th (electrical and chemical) and required more skill
2. Universities made available to industry a group of people trained for this new technology
3. Industry itself changed as many technologically based corporations formed
4. Sherman Anti Trust act 1890 removed various ways in which industry could protect itself from competitors
5. The progressive spirit
6. Research bred more research
D. The middle chapters detail the rise of industrial research labs at GE and Bell. Nothing too original here--see American Genesis for the background stuff
1. The specific mission of GE IRL: Maintain the companies hegemony in the electric lighting market
2. The specific mission of Bell IRL: To develop an electronic repeater for telephone service and to control radio technology
E. The impact of industrial research
1. The IRL gave the corporation more power to control the market by developing and protecting new technologies.

[Jim]

Incredible history of the founding of Bell Labs. Interesting look into the critical role of patents to the success of AT&T, and how precarious that success was. It turns out patents and monopoly power was the central concern in creating Bell Labs. Not the advancement of science and innovation. The owners did not care about any of that. Monopoly profits was the only thing that mattered. Luckily, the scientists and engineers at Bell Labs had other ideas.