It seems that the well-known computer cooling systems manufacturer Scythe is in a difficult situation. Its European division is potentially on the verge of closure, and there is a shortage of CPU coolers on the market. The main reason for this situation is that Scythe’s European division has exhausted its working capital and filed for bankruptcy.
On April 17, 2025, the district court in Rheinbeck, Germany, entered into «insolvency administration for Scythe EU GmbH. This is a temporary step in the insolvency process designed to protect the company’s assets and oversee their proper management while the full bankruptcy proceedings are still ongoing.
This measure is usually applied when a company is experiencing serious financial difficulties and is at risk of becoming insolvent. It usually lasts from two to three months. During this time, a court-appointed receiver intervenes to control the company’s finances and make sure that no assets are lost or misused before the formal bankruptcy process begins.
In other words, Scythe EU is going through a critical period when its finances and business operations are being examined and possible changes are being planned to try to save or reorganize the company’s structure.
The Japanese company Scythe operates in Europe through its Scythe EU GmbH division located in Oststeinbeck, Germany. Over the past few years, there has been a significant increase in the popularity of budget CPU coolers from lesser-known or unbranded Chinese manufacturers. At the same time, many of these models are clones or fakes of well-known brands, including Scythe. Such coolers often imitate the design, style, and even the names of premium CPU coolers, but have a much lower price. This makes them attractive to budget PC builders and ordinary gamers who don’t want to spend $50-100 on a branded cooler.
Some of these coolers actually work well and fully satisfy the needs of users who do not use their processor to its full potential. They can rarely match higher-end coolers in terms of thermal efficiency or acoustic performance, but they are often good enough for average users. In addition, online marketplaces such as AliExpress, Banggood, and even Amazon are flooded with offerings of these clone coolers, often with inflated ratings and reviews, further boosting their visibility and sales.
Although there is no direct evidence yet, the wave of cheap clones may well have hit Scythe hard — so hard that their regional office was forced to declare bankruptcy. And that’s sad, because users and enthusiasts will have less choice.
Source: tomshardware