The pattern of high demand, over-production, and collapse is common in all industries, but especially in the history of Swiss watchmaking. We see it repeated throughout the 20th century, from ebauches to complete watches, but all of these efforts trace their roots to a crisis focused on the humble balance spring. Surprisingly, this very first attempt to create a cartel was also the most successful and disruptive! This is the story of Société des Fabriques de Spiraux Rèunies, which cornered the market for balance springs in 1895. The FSR was the template for Ebauches SA, ASUAG, and the Swatch Group, and we would be wise to study the lessons of this “cartel crisis”!