The Swatch Group facts for kids
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| Public company | |
| Traded as |
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| Industry |
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| Predecessor | ASUAG and SSIH |
| Founded | 1983 |
| Headquarters | , |
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Area served
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Worldwide |
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Key people
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| Products | Watches, Jewelry, Electronic systems |
| Revenue |  CHF 7.31 billion (2021) |
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Operating income
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CHF 1.02 billion (2021) |
| CHF 774 million (2021) |
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| Total assets | CHF 13.68 billion (2021) |
| Total equity | CHF 11.61 billion (2021) |
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Number of employees
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31,444 (2021) |
| Subsidiaries |
List
Blancpain
Breguet Certina ETA SA Flik Flak Glashütte Original Hamilton Watch Company Harry Winston, Inc. Jaquet Droz Leon Hatot Longines Mido Omega SA Rado Renata Batteries Swatch Tissot |
The Swatch Group Ltd is a big company from Switzerland. They make many kinds of watches and jewellery. The company started in 1983. It was formed when two older watch companies, ASUAG and SSIH, joined together.
This happened because of a big problem called the "quartz crisis." Cheap quartz-crystal watches from Asia were becoming very popular. These new watches were threatening the old way of making Swiss watches. The Swatch Group was created to help the Swiss watch industry survive and grow.
Today, The Swatch Group is the largest watch company in the world. They have about 31,000 employees in 50 different countries. They own the famous Swatch watch brand. They also own many other fancy brands like Omega, Tissot, Longines, and Harry Winston.
Contents
History of The Swatch Group
How the Company Began
Before The Swatch Group, there were two main companies. They were called SSIH and ASUAG. Both of these companies faced big problems.
SSIH: A Watchmaking Giant
SSIH (Société Suisse pour l'Industrie Horlogère) started in 1930. It was formed when the Omega and Tissot watch companies joined forces. Swiss watches were known for being very good quality.
But new technology started to appear. For example, the Hamilton Electric watch came out in 1957. The Bulova Accutron watch followed in 1961. These new watches showed that technology was changing the watch world.
In the late 1970s, SSIH got into financial trouble. This was partly because of a tough economy. Also, cheap quartz watches from Asia were very popular. Even though SSIH was Switzerland's biggest watchmaker, they struggled. Banks had to take control of the company in 1981.
ASUAG: Parts and Brands
ASUAG (Allgemeine Gesellschaft der Schweizerischen Uhrenindustrie) started in 1931. It was the world's biggest maker of watch parts. This included tiny pieces like balance wheels and springs. ASUAG also owned many watch brands. These brands were grouped together in 1972.
But ASUAG also ran into problems. It faced similar financial difficulties to SSIH. By 1982, ASUAG was also struggling badly.
The Birth of The Swatch Group
Because both ASUAG and SSIH were in trouble, they merged in 1983. This new company was first called ASUAG/SSIH. In 1985, Nicolas Hayek took over the company. He had help from Swiss banks and investors.
The company was renamed SMH in 1986. This stood for Société de Microélectronique et d'Horlogerie. Later, in 1998, it became The Swatch Group Ltd.
The popular "swatch" brand of watch was launched in 1983. This was done by ETA SA CEO Ernst Thomke and his team. The quartz watch was redesigned to be simpler to make. It used fewer parts. The look and style of the watches were also updated.
Famous Watch Brands
Over the years, The Swatch Group bought many luxury watch companies. For example, they bought Blancpain S. A. in 1992. This company was founded way back in 1735. They also bought Breguet S. A. in 1999, which started in 1775. In 2000, they bought Glashütte Original from Germany. The Swatch Group kept making watches under all these famous names.
In 2013, The Swatch Group bought HW Holding Inc. This company owned Harry Winston, Inc.. Harry Winston is a well-known American company that makes jewelry and luxury watches. Nayla Hayek became the CEO of Harry Winston. In 2014, the company bought a huge, perfect blue diamond. It was called The Winston Blue.
Here is a list of some of the brands owned by The Swatch Group:
What Swatch Group Makes
Watch Parts and Movements
Swatch has a company called ETA SA. It is based in Grenchen, Switzerland. ETA makes many watch movements and parts. These parts are used by other watch brands too. Some big luxury brands use parts made by ETA.
Electronic Systems
The Swatch Group also makes electronic systems. This includes:
- Belenos Clean Power AG: This company works on clean energy.
- EM Microelectronic-Marin: They design tiny electronic parts. These parts use very little power. They are used in things like smart cards and LCD screens.
- Micro Crystal: This company makes small quartz crystals. They also make tiny oscillators. These are important for keeping time in watches.
- Renata: This company makes small batteries. They make button cells and rechargeable batteries.
Swatch Internet Time
In 1998, Swatch came up with something new called "Swatch Internet Time". It was a way to have one global time system. The day was divided into 1000 "beats." There was only one time zone for the whole world.
In 2004, Swatch released its first smart watch. It was called the Paparazzi. This watch used technology from Microsoft.
Watchmaking Schools
The Swatch Group helps train new watchmakers. They opened their first Nicolas G. Hayek Watchmaking School in Miami, Florida, in 2005. There are also other schools in Germany, Malaysia, and China.
Sponsorships and New Ideas
Sports Timing
Swiss Timing is part of The Swatch Group. They use brands like Omega, Longines, and Tissot. They provide timing services for big sports events. This includes the Olympic Games and Tour de France. They also time Formula One races and horse riding events.
Other Ventures
In 1994, Swatch worked with a German company called Daimler AG. They wanted to make a small car called the Smart car. Swatch later left this project.
Swatch also had a company called Belenos Clean Power AG. In 2008, they worked with another group to make a hydrogen fuel cell. This was for a car powered by fuel cells. Swatch tested the car in Switzerland in 2012. However, in 2015, The Swatch Group stopped this project. They decided to focus on making a new type of battery instead. This new battery would be able to store a lot of energy.
See also
- Quartz crisis
- List of watch manufacturers
