Executives flee EK Water Block amid serious financial problems

The clouds continue to gather over the Slovenian liquid cooling system manufacturer EK Water Block (EKWB). According to Tom’s Hardware, some top managers have already left the company amid ongoing financial problems: head of marketing Attila Gobor left for Noctua, and lead product designer Joe Robey joined the Thermal Grizzly team as an executive Department of Mechanical Research and Development.

Image Source: EKWB

The EKWB scandal came to light in April when several former and current employees of the company complained that it had not paid wages and suppliers for several months. In addition, employees noted the presence of a toxic atmosphere within the company. The head and founder of EK Water Block, Edward König, acknowledged the problems, but promised that the company would overcome them. According to Tom’s Hardware, this comes nearly two years after EKWB cut its workforce by 25%, which significantly reduced global sales of its liquid cooling solutions.

Despite some positive changes, EKWB is still losing money and has no profit. Non-payment of wages has become so common that the Slovenian authorities intervened in the matter, initiating an inspection through the labor inspectorate.

Although EKWB has not declared bankruptcy, no one knows how long the company will be able to stay afloat. The latest news about the departure of top managers may indicate that they consider the situation hopeless and, in order to save themselves, have decided to leave the sinking ship. According to the OC3D portal, he contacted industry representatives to find out if there was a chance that EKWB could be bought out by a competitor. However, most respondents said that EK Water Block had accumulated so much debt that purchasing it did not make financial sense.

According to Tom’s Hardware, unless EKWB can turn things around or find a new owner, it likely won’t last long. The disappearance of the leading manufacturer of custom premium liquid cooling systems will be a serious blow to the liquid cooling system market and bad news for the army of enthusiasts. However, Joe Roby’s departure to Thermal Grizzly may indicate that the latter plans to release products that can compete with or even replace EKWB solutions in the market.