Nestlé To Launch BabyNes Capsule System Outside Switzerland In 2012

Nestlé SA plans to roll out its BabyNes infant-formula capsule system next year after initially launching it in Switzerland in May. BabyNes took over six to develop, and it costs 249 Swiss francs. Nestlé would like it to emulate the success of Nespresso, the company's single-serve capsule coffee dispensing system. Nespresso's success encouraged companies, such as Sara Lee Corp. and Ethical Coffee Co., to manufacture capsules compatible with the system. Nestlé responded by taking both to court. BabyNes machines will include a chip to prevent use of non-Nestlé capsules, with the company denying anticompetitive behavior and claiming it merely wants to ensure hygiene and safety standards are maintained.