Amp’d Mobile, the wireless MVNO with a “teen marketing expert” as CEO, has filed for Chapter 11 bankruptcy. The announcement was somewhat expected, despite Amp’d gaining large customer base figures, the company had been running loss-leading business in both prepaid cost, as well as handset pricing, since launch.
However, Amp’d Mobile did not cite any of those reasons for the financial woes inside of the company. Instead, Amp’d cited their vague “back-end infastructure” for the lack of financial stability.
In a statement released earlier today, Amp’d confirmed that they plan to re-structure the company with their investor(s) and they are “confident” that they will emerge from Chapter 11 without any interruptions to customer service.