Earth-return telegraph is the system whereby the return path for the electric current of a telegraph circuit is provided by connection to the earth through an earth electrode. Using earth return saves a great deal of money on installation costs since it halves the amount of wire that is required, with a corresponding saving on the labour required to string it. The benefits of doing this were not immediately noticed by telegraph pioneers, but it rapidly became the norm after the first earth-return telegraph was put into service by Carl August von Steinheil in 1838.
Earth-return telegraph began to have problems towards the end of the 19th century due to the introduction of electric trams. These seriously disturbed earth-return operation and some circuits were returned to the old metal-conductor return system. At the same time, the rise of telephony, which was even more intolerant to the interference on earth-return systems, started to displace electrical telegraphy altogether, bringing to an end the earth-return technique in telecommunications.