Vertu close to shutting down as finances tumble
The primary reason is the plummeting demand for the super-expensive smartphones.
Luxury phone manufacturer Vertu is on the edge as it is once again struggling to deal with its finances. The company is now unable to even pay its bills and owes millions of dollars to its partners, suppliers, and service providers.
The primary reason is the plummeting demand for the super-expensive smartphones which lag behind in terms of functionality as compared to flagships launched by Samsung or Apple. Vertu was passed from one owner to other after Finnish manufacturer Nokia decided to give up on it.
Vertu was eventually bought by a Chinese investment firm in 2015, but the company ended up being owned by Hakan Uzan, a Turkish businessman in March this year.
As of now, the company is said to owe no less than $3.2 million to Microsoft, as the software giant is the lease owner of Vertu’s headquarters. Also, property service owner CBRE has to be paid $540,000, while approximately 200 employees have not been paid as well.