Swiss forestry is under transition. Members of the industry are searching for new business models, new organizational forms and new ways to co-operate with one another. From the economists point of view this search gives evidence to changes in the traditional industry structure. The paper presents an economic analysis of these changes and identifies starting points for re-shaping the industry. It becomes obvious that assigning harvesting decisions to the individual forest owner entails high transaction costs in the market for automated harvesting services. We suggest options to re-assign the harvesting decision and line out their consequences.