Verizon Wireless said that as of June 23, Amp'd Mobile had incurred $15.6 million in post-bankruptcy charges and is costing the carrier $370,000 a day, but still has not obtained debtor-in-possession financing that would assure the carrier that its bills will be paid. Verizon Wireless said it has received one payment of $2.5 million, which was supposed to placate the operator and allow Amp'd Mobile to have continued access to its network.At the time of the bankruptcy filing, Amp'd had already run up $41 million in unpaid bills to Verizon, in addition to the aforementioned $15.6 million.The Pioneer Press reports that Amp'd has about $9,000 in cash. This means that you are likely richer than Amp'd mobile.
Amp'd marketed their services to low income/young/credit risk customers who were otherwise unable to get a nonpre-paid cellphone. It did not work. At all.
VZW's Q2 growth hit by Amp'd write-off [RCR Wireless] (Thanks, Rob!)
Amp'd may be shut off [Pioneer Press]
PREVIOUSLY: Amp'd Mobile Files For Bankruptcy After 1/2 Of Their Subscribers Don't Pay Their Bills
]]>Problem found.
]]>I'll admit I actually had ampd. And, no, I haven't paid my bill. But it's due to the fact that they have no clue what they're doing in their billing department and want to charge me for 2 months of service that I didn't use cause my phone got wet and then I had to wait for it to come in off back order. For the irony, I now have verizon. I'm very happy with them (for no. Seems a lot of you have had a bad expearance). But Skatha777 hit the nail on the head. It was the first sell phone I had that was incovenient. But as soon as they get my bill straight (going on 4 months now) I will gladly pay what I owe. Key word is owe. Refuse to pay them a DIME more than I am spost to. And forget calling cust service. You will wait for not less than 15-20. Very bad. Glad they are going do the crapper. Reception sucked also.
]]>A few years ago, Mitsubishi Motors "sold" loads of vehicles in the US at 0 percent down, 0 percent interest, and 0 payments deferred for 12 months. Free car for a year, yay!
A year later, they discover that *surprise surprise* alot of those folks buying the cars couldn't make the payments, and had to eat a 454 million dollar loss...but at least they're still in business!!
]]>For future reference, Verizon, don't make any deals or sign any contracts with a company that uses an apostrophe in place of an "e" in its name.
]]>Seconding Enm4r's question. If Amp is violating their contract by not paying, surely Verizon is no longer obligated to provide the service their contract with Amp would obligate them to.
]]>Why do they have to have permission to cut Amp'd users? Why are they obligated to pick up the slack at all?
]]>I always figured something like this would happen - I've never trusted their commercials. It'll be interesting to see what happens to them now!
]]>This has GOT to be a case of "Amp'd is racking up this bill that we know they can't pay." and not "Amp'd is bleeding dollars out of our holdings."
]]>Three cheers for the idiot MTV crowd who can't pay their bills!!!
]]>But not quite.
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Wait a second...a cell phone company who makes its livelihood off of people who couldn't afford to pay attention is actually going out of business? Because nobody paid their bills?
Get out of town!
Here's your sign...
ampd has all these big celebrities on their tv ads. Thats where all the money went. I think I can run a better phone company from my closet than ampd mobile.
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@scoobydoo: Remember Iridium? Motorola took what, $5 billion in charges related to their failure.
But frankly, if amp'd only has about nine grand, I do have a higher net worth.
You'd think Verizon would have at least LOOKED at Amp'd's business plan first.
Guess Verizon got what they asked for...
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