The firm that sold smartphones with hefty price tags is collapsing

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British luxury mobile phone maker Vertu is shutting down its UK manufacturing plant, according to multiple foreign media. The company reportedly will also cut 200 jobs.

Vertu's cellphones are famous for its luxury. /VCG Photo

Focusing on the super-rich, Vertu was founded by Nokia in 1998. In the past, it built phones with expensive flourishes such as precious metals, fine and hand-cut leather, gold plating, to attract customers in the high-end phone market. Some of its high-end mobile phones were priced over 11,000 US dollars.

However, even with features like "super-secure communication systems," it became less attractive in recent years, especially when premium smartphones like iPhone began the ascent as well as users prefer phone's usability rather than appearance.

User pay more attention on phones' usability in recent years. /VCG Photo

Last month, Vertu announced that they have already reached an agreement with TCL to use the latter's technology for its smartphones. All new phones, which will be manufactured under TCL partnership, were scheduled to be launched this September, said Vertu.