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The reason is that the software running on these devices reveal the location of traffic radars, through which less people have been fined in the recent years and thus Swiss authorities miss a lot of money. The controversial ban has been created a large commotion inside and outside the country, forcing the authorities to put an official document online [pdf — in Germans], with answers to most frequently asked questions.
GPS devices such as TomTom, Garmin, Mio, Navman, Medion, Route 66, Packard stand Ring, Sony and ViaMichelin are all in the banned list."