The Swatch Group Ltd. (SIX: UHR, UHRN) is a Swiss company and the biggest watch manufacturer in the world.[3] It was formed in 1983 through the merging of the two Swiss watch manufacturers ASUAG and SSIH, and took its present name in 1998 (formerly SMH Swiss Corporation for Microelectronics and Watchmaking Industries Ltd). The company is led by G. Nicolas (Nick) Hayek, Jr., son of the co-founder and current chairman Nicolas Hayek.
In 2007, gross sales were 5.94 billion CHF. The Swatch Group has around 23,600 employees.
History
The Swatch Group formed from two financially troubled predecessor companies:
- SSIH originated in 1930 with the merger of the Omega and Tissot companies. Swiss watch quality was high, but new technology such as the Hamilton Electric watch introduced in 1957 and the Bulova Accutron tuning fork watch introduced in 1961 presaged increasing high technology competition.
In the late 1970's SSIH became insolvent due in part to a recession and in part to heavy competition from inexpensive Asian made quartz crystal watches. These difficulties occurred even though it had become Switzerland's largest and the world's third largest producer of watches. Its creditor banks assumed control in 1981.
- ASUAG, formed in 1931, was the world's largest producer of watch movements and the parts thereof (Balance wheels, Balance Springs (Spiral), Assortments, Watch Stones ("rubis"). ASUAG had also integrated an array of Watch brand in 1972 into a sub holding company, General Watch Co.
ASUAG failed similarly in 1982.
Both groups were reorganized and merged into SSIH/ASUAG Holding Company in 1983. Taken private, in 1985, by CEO Nicholas Hayek (who was born and raised in Lebanon), with the understanding of the Swiss Banks and the financial assistance of a group of Swiss private investors, it was renamed SMH in 1986, and ultimately Swatch Group Ltd in 1998.
The launch of the new Swatch brand "Swatch" watch in 1983, by the then ETA SA CEO Ernst Thomke and his young team of engineers, was marked by bold new styling and design. The quartz watch was redesigned for manufacturing efficiency and fewer parts. This combination of marketing and manufacturing expertise restored Switzerland as a major player in the world wristwatch market.
Brands
The Swatch Group owns several companies which do research (Asulab, EM Microelectronic-Marin, Oscilloquartz SA), produce movements (ETA SA, Valjoux, F. Piguet), produce pieces of watches (Comadur), and numerous watch brands, including Breguet, Blancpain, Jaquet Droz, Glashütte Original, Union Glashütte, Léon Hatot, Omega SA, Tiffany & Co., Rado, Longines, Swatch, Tissot, Calvin Klein, Certina, Mido, Pierre Balmain, Hamilton, Flik Flak and Endura.
Electronic Systems
The Swatch Group Electronic System provides complete solutions by integrating the individual expertise of the following companies:
- EM Microelectronic-Marin: Designs and produces ultra-low power, low voltage mixed-signal integrated circuits, LCD and modules. IC Product lines include RFID, microcontroller, smart card, ASIC, RTC, reset circuit, watchdog, LCD driver, opto ICs.
- Oscilloquartz SA : Produces and designs high precision frequency control products, including Cesium PRS, quartz crystal oscillator, OCXO, BVA & PRC, SSU (also called SASE, TSG or BITS), GPS based synchronisation products for the wireless and wired telecommunication infrastructure.
- Micro Crystal: Produces miniature low power quartz crystals and small low power oscillators. Focus is 32.768 kHz SMD and through hole crystals in miniature metal and ceramic package.
- Renata: Develops and produces micro batteries. Product lines include button cells and rechargeable (Lithium Polymer) batteries. Primary batteries include Silver Oxide Lithium and Zinc-Air technologies.
- Lasag: Offers solid-state lasers for precision welding, cutting, drilling and ablating of metals.
The Nicolas G. Hayek Watchmaking School
The Swatch Group started offering their first class for aspiring watchmakers in September 2005. This school is based out of Secaucus, New Jersey. Another school is located in Okmulgee, Oklahoma. Other watchmaker schools outside the US are situated in Glashütte (Germany), Pforzheim (Germany), Kuala Lumpur (Malaysia) and Shanghai (China).
Internet Time and new technologies
In 1998, Swatch invented "Swatch Internet Time", intended as a global timesystem, which divides the day into 1000 "beats" in a single worldwide timezone.
In October 2004, Swatch introduced its first smart watch, the Paparazzi, based on Microsoft Corporation's SPOT (Smart Personal Objects Technology) technology.
Oscilloquartz SA, a company of the Swatch Group Electronic Systems, also produces NTP time server products.
Ventures
In 1994, Swatch entered into a joint venture with Germany's Daimler AG to produce the Smart Car, but they later withdrew from this project.
See also
Further reading
References
- ^ a b c "Annual Results 2008" (PDF). Swatch Group. http://www.swatchgroup.com/en/content/download/1705/51514/file/2008KeyFiguresE090312.pdf. Retrieved 2009-03-14.
- ^ "Annual Report 2007" (PDF). Swatch Group. http://www.swatchgroup.com/index.php/en/content/download/1016/31462/version/11/file/2007_annual_report_complete_en.pdf. Retrieved 2009-03-01.
- ^ Koltrowitz, Silke; Reid, Katie (23 February 2009). "Swatch Group still sees H2 recovery - paper". Reuters. http://www.reuters.com/article/rbssApparelAccessories/idUSLN33803720090223. Retrieved 2009-03-01.
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