Initially, the telegraph was expensive, but it had an enormous effect on three industries: finance, newspapers, and railways. Telegraphy facilitated the growth of organizations "in the railroads, consolidated financial and commodity markets, and reduced information costs within and between firms". In the US, there were 200 to 300 stock exchanges before the telegraph, but most of these were unnecessary and unprofitable once the telegraph made financial transactions at a distance easy and drove down transaction costs. This immense growth in the business sectors influenced society to embrace the use of telegrams once the cost had fallen.
Initially the telegraph was expensive but it had an enormous effect on three industries finance newspapers and railways Telegraphy facilitated the growth of organizations "in the railroads consolidated financial and commodity markets and reduced information costs within and between firms" In the US there were 200 to 300 stock exchanges before the telegraph but most of these were unnecessary and unprofitable once the telegraph made financial transactions at a distance easy and drove down transaction costs This immense growth in the business sectors influenced society to embrace the use of telegrams once the cost had fallen