The company was incorporated in 1922 by British and American electrical companies, they were; Marconi wireless Telegraph company; Metropolitan-Vickers electrical Co Ltd; Radio Communication Co Ltd; The British Thomson-Houston company; The General Electric Co; Western Electric Company.

The participating companies did this to ensure there was a service providing radio broadcasts, in order to create a market for the sale of radio receivers made by the members of the company. The company was dissolved on the 31st December 1926 and the non-commercial British Broadcasting Company (BBC) was established under a Royal Charter.