iRobot Files for Chapter 11 Bankruptcy
iRobot, the company behind the Roomba robot vacuum, has filed for Chapter 11 bankruptcy protection in the United States. The filing allows the company to continue operating while it restructures its finances under court supervision.
The move follows years of growing competition in the robot vacuum market, particularly from Chinese manufacturers offering advanced features at lower prices. iRobot was also impacted by the collapse of its planned acquisition by Amazon in early 2024, which fell apart due to regulatory concerns.
As part of the restructuring, iRobot will be acquired by Shenzhen Picea Robotics, its long-time manufacturing partner. The company will become privately owned and will be delisted from the stock market. Existing shareholders are expected to lose their equity.
iRobot stated that products, apps, warranties, and customer support will continue to operate as normal during the restructuring process, which is expected to conclude in early 2026.