Spencer makes an electromagnetic Christmas tree, and when it bursts into flames, Carly becomes furious with him as the fire ruined their Christmas presents. Carly then wishes that Spencer was born normal. Carly's guardian angel, Mitch, makes this wish come true, surprising Carly. The next day at school, Sam is absent, Freddie was never friends with Carly, and to make things worse -- Nevel Papperman is Carly's boyfriend. Carly questions Mitch about Sam's disappearance, and Carly is taken to the Juvenile Detention Center, where Sam is being held.
Carly finds out that Sam was never her friend, either. Carly returns home and then is told that Mrs. Benson and Spencer are now engaged, making Carly angry at what the world has become. Carly then walks up the stairs and finds out that, because Sam and Freddie were never her friends, iCarly never existed, either. Carly begins to sob, realizing how much the world would change if Spencer was born normal. Mitch turns the world back, making Spencer born abnormal. Carly gives Freddie the biggest hug he has probably ever gotten and Carly is thrilled when she sees Sam and gives her a huge hug. Carly is now happy with the electromagnetic Christmas tree, and Carly, Sam, Freddie and Spencer have a good Christmas together in the end.
- The ending, with Carly saying the tree needs a little love, and the cast gathering around "oo-oo-oooing" to "Hark! The Herald Angels Sing", is a take-off of the ending to A Charlie Brown Christmas.
- The plot is a parody of It's a Wonderful Life.
The episode was made available on the iCarly: Season 2, Volume 1 DVD set in 2009.