History
The invention of the carbon microphone (then called a "transmitter") was claimed both by Thomas Alva Edison in March 1877 and separately by Emile Berliner who filed related patent applications in June 1877 and August 1879. The two sides fought a long legal battle over the patent rights. Ultimately a federal court awarded Edison full rights to the invention of the carbon microphone, saying "Edison preceded Berliner in the transmission of speech...The use of carbon in a transmitter is, beyond controversy, the invention of Edison" and the Berliner patent was ruled invalid. British courts also ruled in favor of Edison over Berliner. Having settled the Dowd suit (after Peter A. Dowd, agent of Western Union) out of court in 1881, Western Union left the telephone business, and sold Edison's patent rights and related assets to the Bell company in exchange for 20% of telephone rental receipts. Subsequently Bell telephones used the Bell receiver and the Edison transmitter. Later, carbon granules were used between carbon buttons. Carbon microphones were widely used in telephones in the United States from 1890 until the 1980s.
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