Update: Subsequent to publishing the below article, iCard’s insolvency notice was published in The London Gazette. So it’s now verified – as of 27 June 2014, iCard Mobile Limited have been in administration.
The mobile industry is awash with rumours that cut-price MVNO iCard Mobile is going out of business potentially leaving thousands of customers stranded. The budget virtual network is struggling with huge debts and insider sources are even claiming the company might already have gone into administration.
Our investigations have been unable to confirm anything so far, but iCard have looked a bit wobbly recently. The network was launched in September 2010 and is run by an established entity called iCard Telecom.
However, some of our readers reported that their website was completely down earlier in the week and others claimed that their calling cards suddenly stopped working. They also recently ended their free calls deal without any notification to customers. Whatever the true situation is behind the scenes, it appears that there might be major cashflow issues.
Other sources have made unconfirmed comments that their money woes have forced the network into receivership due to approximately £12 million of unpaid debts. The last accounts published by iCard do not confirm this yet even though their cash reserves were stated to stand at a paltry £10,000 against liability of almost £3 million.
Following the rapid collapse of OVIVO earlier in the year, it’s clear some virtual networks are struggling to surviving in the competitive UK market. Having said that, we’ve been unable to get any official comment from iCard Mobile so far so it must be stressed that this is just a rumour and nothing has been officially confirmed yet.