Modu Ltd., maker of some of the smallest cell phones in the world, will soon be forced to shut its doors according to a pair of reports from Israeli news site Ynet. The news follows reports from November of last year stating that the Israel-based company was forced to cancel a planned IPO and instead begin laying off most of its staff. It now appears as though modu will be forced to close in early February and until then, only a small sales team will remain in place to sell off remaining inventory. According to the report, modu currently owes $123 million to investors and another $21 million to the Israel Discount Bank. Modu may also owe a substantial sum to former employees, who today filed a liquidation request with Israeli courts in an effort to recoup salaries they are allegedly owed. Modu made a name for itself in 2008 when it announced a tiny modular cell phone that could take on new shapes and functions by sliding into various accessories. It would later announce two new devices — the modu T phone, the lightest touchscreen phone in the world, and a Wi-Fi-only VoIP phone called the modu W — but neither phone would become widely available.
Employees fight for pay as Modu is forced to close its doors
Updated Dec 19th, 2018 6:59PM EST
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Zach Epstein has been the Executive Editor at BGR for more than 10 years. He manages BGR’s editorial team and ensures that best practices are adhered to. He also oversees the Ecommerce team and directs the daily flow of all content. Zach first joined BGR in 2007 as a Staff Writer covering business, technology, and entertainment.
His work has been quoted by countless top news organizations, and he was recently named one of the world's top 10 “power mobile influencers” by Forbes. Prior to BGR, Zach worked as an executive in marketing and business development with two private telcos.
