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I used an online translation tool, as this is not yet available in English (source: Décision de la COMCO concernant les mouvements ETA )


COMCO Decision on ETA movements

Bern, 15.07.2020 - The Competition Commission (COMCO) has imposed no new delivery obligations or restrictions on the Swatch Group after a thorough examination of the market for Swiss made mechanical movements. However, the Swatch Group subsidiary ETA remains in a dominant position.

At the end of 2013, the COMCO approved an amicable agreement with Swatch Group. This agreement stipulated that the subsidiary ETA SA Manufacture Horlogère Suisse (ETA) had to deliver to its then customers defined quantities of mechanical movements until the end of 2019. The aim of the amicable agreement was to create incentives for sufficient competition to develop by the end of 2019 and for customers to find alternative sources of supply. After the expiry of this period, no delivery obligation was to remain.

In view of indications that the market for Swiss made mechanical movements was not developing as expected, COMCO initiated a review procedure in November 2018. The in-depth examination carried out by the COMCO now shows that the market has reacted to the incentives of 2013 and that the conditions of competition have to a large extent been realised as expected. For example, ETA customers have expanded their sources of supply.

On the basis of a broad analysis of the situation, COMCO concludes that no further obligations should be imposed on ETA. However, the Swatch subsidiary remains in a dominant position on the market for Swiss made mechanical movements and thus remains subject to cartel controls.

The COMCO's decision can be appealed to the Federal Administrative Court.
 

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This sounds like good news FB. Now ETA will have more freedom,
and all of the other companies still have the freedom to create their
own movements if they want right? (y) Is that right? Or is everything
I just said there actually wrong? 😄I mean it sounds great that there
will be more freedom overall. One thing is for sure, it was a really
important decision. Thanks so much for the report !!!
 

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Indeed! It's been a odd time for ETA, first they wanted to only supply their in-house brands, the government sort of forced them to continue supplying outside brands saying it was unfair to cut off supply to competitors. Years later ETA decided to keep on supplying outside brands, and then in 2017(?) the government reversed it's decision and said it shouldn't as it was a monopoly. Damned if you do, damned if you don't..

Oddly enough, in the intervening time, Sellita has come along as a viable competitor, as well as a few other smaller brands (Fossil group) also offering their own movements to other watch maker brands, so I can't see how the Swiss government would be able to maintain that ETA was a monopoly.

Monopolies are more or less allowed in Switzerland. An example is Swisscom, the mostly state owned telephone operator which had no competition for years (market only opened up in the late 90s). They still own most of the infrastructure, so any competitor is simply renting space on their lines / towers etc.
 

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Thanks so so much for making all of this easier to understand FB ! 😉
I remember when all of this started a few years back, and sort of
understood it, but I feel like you really clarified what happened, or
what was supposed to happen. So basically Swatch was seen as
the Swisscom of the watch industry it seems. Think all of it is just
fascinating sir. Thanks so very very much !!! (y)(y)
 

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Screw ETA and Swatch. I've already gotten used to Sellita now anyway. Not a problem in the lot. And I have alot of them... 😊 ETA who ??? 🙄
 

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Every Sellita movement in my watches is as good or better then ETA.
 
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I used an online translation tool, as this is not yet available in English (source: Décision de la COMCO concernant les mouvements ETA )


COMCO Decision on ETA movements

Bern, 15.07.2020 - The Competition Commission (COMCO) has imposed no new delivery obligations or restrictions on the Swatch Group after a thorough examination of the market for Swiss made mechanical movements. However, the Swatch Group subsidiary ETA remains in a dominant position.

At the end of 2013, the COMCO approved an amicable agreement with Swatch Group. This agreement stipulated that the subsidiary ETA SA Manufacture Horlogère Suisse (ETA) had to deliver to its then customers defined quantities of mechanical movements until the end of 2019. The aim of the amicable agreement was to create incentives for sufficient competition to develop by the end of 2019 and for customers to find alternative sources of supply. After the expiry of this period, no delivery obligation was to remain.

In view of indications that the market for Swiss made mechanical movements was not developing as expected, COMCO initiated a review procedure in November 2018. The in-depth examination carried out by the COMCO now shows that the market has reacted to the incentives of 2013 and that the conditions of competition have to a large extent been realised as expected. For example, ETA customers have expanded their sources of supply.

On the basis of a broad analysis of the situation, COMCO concludes that no further obligations should be imposed on ETA. However, the Swatch subsidiary remains in a dominant position on the market for Swiss made mechanical movements and thus remains subject to cartel controls.

The COMCO's decision can be appealed to the Federal Administrative Court.
Simple, buy a Sellita, it's the same thing and cheaper.
 

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Discussion Starter #9
Screw ETA and Swatch. I've already gotten used to Sellita now anyway. Not a problem in the lot. And I have alot of them... 😊 ETA who ??? 🙄
That's hard to do, considering all the brands they own & produce.......
 

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My hatred for the Swatch/ETA thing is such that I will not buy anything that is under their umbrella save the two Hamiltons I already have. If I want ETA'S now. Gotta go used. Which is just fine with me since most of Swatch's prices are ridiculous anyway.
 

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Discussion Starter #11
My hatred for the Swatch/ETA thing is such that I will not buy anything that is under their umbrella save the two Hamiltons I already have. If I want ETA'S now. Gotta go used. Which is just fine with me since most of Swatch's prices are ridiculous anyway.
Out of curiosity, can I ask why you dislike them so much?
 

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Out of curiosity, can I ask why you dislike them so much?
Because I love ETA movements. Swatch doing what they did cut off supply to many companies that would be using their movements. I thought that was a shame. IMO, Any and all watchmakers should have the right to use whatever movement they want or can afford. Alot of micros like Obris Morgan were using ETA's yet charging less than $400 for the finished product. Glycine too. Now, Swatch has control of the movements and the outrageous price you have to pay to get one.
 

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Discussion Starter #13
Because I love ETA movements. Swatch doing what they did cut off supply to many companies that would be using their movements. I thought that was a shame. IMO, Any and all watchmakers should have the right to use whatever movement they want or can afford. Alot of micros like Obris Morgan were using ETA's yet charging less than $400 for the finished product. Glycine too. Now, Swatch has control of the movements and the outrageous price you have to pay to get one.
I'm not sure I understand. Swatch Group has controlled ETA SA since the mid 1980s. It's not surprising that some watch brands went with Sellita, as the "do we / don't we" atmosphere around ETA (mixed in with government interference) likely made the brands think twice and opt for the Sellita as a more potentially stable supplier.

It does seem, at least from ETA's website, that the movements are no longer available to outside companies. Each movement is marked with "unavailable". That's disappointing.
 
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