The US company behind the Roomba robot vacuum cleaner has filed for bankruptcy protection and agreed to be taken over by a Chinese supplier after years of financial strain.
iRobot, which pioneered consumer robot vacuums in the early 2000s, has entered Chapter 11 bankruptcy proceedings in Delaware as part of a restructuring deal with Picea Robotics, a subsidiary of its main manufacturing partner. The company said the move would allow it to continue operating while addressing its debts.
iRobot has struggled since the pandemic boom, facing supply chain disruptions and growing competition from cheaper rivals. It warned earlier this month that bankruptcy was a possibility. Chief executive Gary Cohen said the deal with Picea would strengthen the company’s finances and combine iRobot’s design and research strengths with Picea’s manufacturing expertise.
The takeover follows the collapse of a planned $1.4bn acquisition by Amazon in 2024 after opposition from EU competition regulators. Although iRobot received $94m in compensation, much of it was used to cover fees and repay debt.
The sale to a Chinese company may revive privacy concerns previously raised during Amazon’s bid, centred on access to home-mapping data collected by Roomba devices. iRobot said the bankruptcy process would not disrupt its products, app or customer support.
Founded in 1990 by MIT roboticists, iRobot was valued at more than $3bn in 2021 but is now worth about $137m after posting a $145.5m loss last year.
