The text communications battlefield: Installed base, externalities and the fall of the teletex system

Svend Erik Jeppesen and Knud Bruun Poulsen

Telecommunications Policy, vol. 18, issue 1, 66-77

Abstract: Teletex, a computerized version of the classic switched telegraph system, was marketed by the PTTs as the 'natural' successor to the obsolete telex system. It was a failure. Teletex is likely to be dropped within the foreseeable future. Telex is also showing a significant decline, which will eventually mean the end of the classic switched telegraph. Teletex was unable to revive the principles of the switched telegraph. The future of text communication centres around two other means of telecommunication: telefax and e-mail. The battle over text communications and the life cycle of teletex is studied in terms of externalities and within the framework of the installed base theory.

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