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A four-needle system was installed between Euston and Camden Town in London on a rail line being constructed by Robert Stephenson between London and Birmingham. This was a similar application to the Liverpool project.The carriages were detached at Camden Town and travelled under gravity into Euston.
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Their differences were taken to arbitration with Marc Isambard Brunel acting for Cooke and John Frederic Daniell acting for Wheatstone.
Cooke eventually bought out Wheatstone's interest in exchange for royalties.
In May 1837 Cooke and Wheatstone patented a telegraph system which used a number of needles on a board that could be moved to point to letters of the alphabet.
The patent recommended a five-needle system, but any number of needles could be used depending on the number of characters it was required to code.
Cooke was an inventor and entrepreneur who wished to patent and commercially exploit his inventions.
Wheatstone, on the other hand, was an academic with no interest in commercial ventures.
In later systems the letter board was dispensed with, and the code was read directly from the movement of the needles.
This came about because the number of needles was reduced, leading to more complex codes.
Cooke's earlier ideas for a mechanical telegraph (involving a clockwork mechanism with an electromagnetic detent) were largely abandoned.
In January 1837 Cooke proposed a design for a 60-code telegraph to the directors of the Liverpool and Manchester Railway.
The change was motivated by the economic need to reduce the number of telegraph wires used, which was related to the number of needles.