Amp'd Mobile

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Amp'd Mobile Inc.
Fate Bankrupt
Founded 2005
Defunct 2007
Location Los Angeles, California, USA
Industry Wireless Services

Amp'd Mobile was a mobile phone service launched in the United States in late 2005. The company was a Mobile Virtual Network Operator. Its primary non-Venture Capital investors were MTV Networks and Universal Music Group. The service targeted at 18-35 year olds, and was the first integrated mobile entertainment company for youth, young professionals and early adopters, and was, like Helio, a 3G carrier in the US specifically targeting that demographic. Amp'd Mobile offered voice services as well as 3G data services such as wireless broadband based on Verizon Wireless's EV-DO network, text and picture messaging, Push to Talk, and over-the-air downloadable applications and content (including Video on Demand) from its Amp'd Live service.

Contents

[edit] Services

[edit] Amp'd Live

Amp'd mobile's service was built around Amp'd Live, a permanently installed BREW application on all Amp'd Mobile phones, which featured downloadable and streaming video on-demand clips, live events such as Supercross, streaming phonecast radio stations, downloadable content such as games, ringtones, and songs.

Amp'd Live TV channels included Comedy Central Mobile, MTV Mobile, Spike, Oxygen Mobile, MTVU, VH1, LOGO, UFC TV, Fox News, Fox Sports, Playboy Mobile, Discovery Mobile, History Channel, A&E, Biography Channel, Style, Break TV, E!, WE Mobile, Speed, NBA TV, Girls Gone Wild TV, and Adult Swim Mobile.SU. The TV show Lil Bush aired on Amp'd Live TV before being picked up by Comedy Central.

[edit] Amp'd Mobile Canada

In 2006, Amp'd Mobile announced the creation of Amp'd Mobile Canada, which is an MVNO/partnership with Telus launched on March 14, 2007. In this partnership, Amp'd takes care of marketing and content, while Telus handles the billing, the customer care, and the retail aspects of the venture.

On August 1, 2007 it was announced that Telus Mobility would be ending its Ampd Mobile operations in Canada. Customers would be contacted via phone before August 10, 2007 if not they should call 1-877-611-2673.

The Ampd Mobile Canada Website discloses the following:

If you are an existing client, Telus will contact you shortly with more information, including details about a new phone and entertainment plan that will be offered in place of your Amp’d Mobile service.

Through the transition period, please be assured that all voice and messaging services will continue to function on your Amp’d Mobile phone. However, multimedia services are likely to be disrupted at any time.

Specific content features and rate plans will vary depending on the package you currently have with Amp’d Mobile. Telus will explain all the calling features and content plans with you directly.

You will need to replace your Amp’d phone. Telus will replace it with an equivalent at no cost to you or offer a $300 credit toward a Telus device of your choice.

[edit] Company and subscriber numbers

[edit] 2006

At the end of 2006, Amp'd Mobile had over 100,000 subscribers. 89 percent of its customer base is on postpaid contracts, and its total average revenue per user is “well over” $100 per month.[1]

[edit] 2007

Amp'd Mobile filed for Chapter 11 bankruptcy protection June 1, 2007. Their subscriber base at the end of the first quarter is about 175,000 customers.[2]

On July 20, Amp'd announced their intentions to sell off all of their assets at auction.[3] In addition, Best Buy discontinued carrying the Amp'd post-paid service.

On July 21, 2007 text messages began to be sent to Amp'd Mobile customer phones that stated:

Your svc may be disconnected on 7.24 @ 12:01 am. Go to www.ampd.com or contact the location where you activated your service for further information.

Amp'd website indicated that they were "potentially" disconnecting service on July 24, 2007. Customer service will be available to the close of business on July 23, 2007 and that they are currently in discussion with "several" companies about purchasing Amp'd. It also states that If you have an outstanding unpaid credit, rebate or refund due to you, to be considered for payment, you will need to file a claim. Please see http://chapter11.epiqsystems.com/AMI for more information.[1]

On July 24, 2007, Amp'd website updated its FAQ with potential service disconnection pushed back to July 31, 2007.

On July 31, 2007 Amp'd sent a text message:

Ampd svc ends @midnight 8/1. Keep your Ampd phone and get 100 free TXT by switching to Prexar Mobile. For info go to http://www.prexarmobile.com

[edit] Bankruptcy

On June 1, 2007, Amp'd filed for chapter eleven bankruptcy. According to court documents, around 80,000 of its 175,000 subscribers were recorded as nonpaying customers. Bankruptcy protection was brought on by Verizon Wireless who threatened to cut off service to Amp'd if debt owed to Verizon wasn't paid. Amp'd Mobile together with its main creditor Kings Road Investment Ltd. sued Verizon Wireless, seeking a court order that barred Verizon from cutting off service to Amp'd Mobile from its network. On June 22, 2007, an agreement was reached between Verizon, Amp'd and Kings Road to pay Verizon off with cash collateral and allow Amp'd the use of Verizon's network. The settlement was heard in the U.S. Bankruptcy Court on June 25, 2007.[4] Ampd indicated an intent to sell off its assets.[5][6]

[edit] Discontinuation of service

Amp'd sent out a text message to all of its users on July 22, 2007 stating that as of July 24, 12:01 a.m. they would be discontinuing all services.[7] This date was later extended to July 31, 2007.[8]

On the evening of July 23, the Amp'd website indicated that customer service would no longer be available.[9] The fate of mobile phone numbers for existing customers who have not yet ported to another carrier was still unknown.[10]

On July 26, 2007 Amp'd sent a text message which gave additional information on how bankruptcy will affect its subscribers agreement. The text read as follows:

AMPD MSG:
Additional info about how the Ampd bankruptcy will affect your subscriber agreement is available at http://chapter11.epiqsystems.com/AMI

On July 31, 2007 Amp'd sent another text message:

Ampd svc ends @midnight 8/1. Keep your Ampd phone and get 100 free TXT by switching to Prexar Mobile. For info go to http://www.prexarmobile.com

Verizon has sent a notice to their retailers stating not to activate phones purchased from Amp'd. However some phones are able to be activated by a willing retailer using the hex number rather than the esn which will be rejected by Verizon's registration system. On the Verizon wireless frequently asked questions page it states that any CDMA phone can be activated by Verizon which contradicts the notice sent to Verizon retailers. This can successfully be used as a bargaining issue to have your Amp'd phone activated.

[edit] Criticism

[edit] Sponsorship

Amp'd Mobile was the sponsor of VH1's comedy-skit show: "Acceptable TV." It's name, brand, and mascot "Clarity the Amp'd Mobile Dog" were included in many of the show's skits during the Spring 2007 season.

[edit] Customer service

A major complaint about Amp'd Mobile was their lack of customer service. Problems activating the service and plans not matching those advertised on the company's web site had been reported. Actually getting in contact with customer service seemed to be a large issue. Many customers claimed to have found themselves on hold via phone support for hours, only to be hung up on. Also, instances of mail in rebates being "lost" or never fulfilled had been reported. When you have purchased an order it may get "lost". This to many of Amp'd customers was a daily routine of known things to happen.[citation needed] Amp'd's customer service was at one point run by ClientLogic[2] Support was later handled by Sento Corporation, but some time after the bankruptcy filing this support had ended, which had forced Sento to lay off around 200 people in Albuquerque, New Mexico and Orem, Utah[Oklahoma].

[edit] References

[edit] External links