Before turning to EKWB’s recent situation, which needs to be viewed with caution and a pinch of salt, let’s take a look back at the company’s overall context since April 2024. EK Water Blocks (EKWB), once a leader in PC liquid cooling, is currently going through an unprecedented financial and organizational crisis.
A reminder of the reasons behind the EKWB tragedy
Since April, alarming reports had revealed that the company was facing serious financial difficulties. These difficulties have led to late payments to employees and suppliers. Some have not been paid for several months. This situation has seriously affected employee morale. It has also damaged relations with key suppliers, exacerbating the internal crisis.
In February 2024, Edvard König, the company’s founder, took over the reins in an attempt to rectify the situation. He put in place measures to correct communication and management failures. He has pledged to settle overdue payments and improve transparency within the company. However, EKWB faces increasing competition in the cooling market. This market is characterized by low margins and uncertain demand. Some experts attribute this crisis to management errors. They also point to investments in overly specialized market segments, with niche products. These products did not generate sufficient revenues. Excessive pricing may also have contributed to the current situation.
The current situation: EKWB bankrupt?
Despite these efforts, EKWB’s financial situation remains extremely fragile, even too fragile? According to a recent report by the stop-neplacniki website, EKWB has its four main bank accounts blocked due to a lack of provisions, which could indicate imminent insolvency. If confirmed, EKWB could well be bankrupt, which could mean the end of the company. However, this information must be taken with caution, as we have no further confirmation at this time (although the elements published here are factual and difficult to contest).
It seems that EKWB is in a very difficult, potentially insurmountable situation, with many employees having already left the company. In addition, the brand had announced new products whose release seems delayed. Finally, the company is experiencing delivery difficulties on current products. For the moment, information is scant, but very worrying, even alarming.
