It is unsurpassed for economy and simplicity." The only telephone line in the world at this time was between the Williams' workshop in Boston and the home of Mr.Williams in Somerville.
But in May, 1877, a young man named E.T.Holmes, who was running a burglar-alarm business in Boston, proposed that a few telephones be linked to his wires.

He was a friend and customer of Williams, and suggested this plan half in jest and half in earnest.

Hubbard was quick to seize this opportunity, and at once lent Holmes a dozen telephones.
Without asking permission, Holmes went into six banks and nailed up a telephone in each.

Five bankers made no protest, but the sixth indignantly ordered "that playtoy" to be taken out.

The other five telephones could be connected by a switch in Holmes's office, and thus was born the first tiny and crude Telephone Exchange.