Roomba Maker iRobot Files for Bankruptcy, Chinese Supplier Picea Robotics Takes Over

• iRobot, the maker of Roomba, filed for Chapter 11 bankruptcy on December 15, ending its 35-year journey.
• Founded in 1990, iRobot launched the Roomba in 2002, dominating the robotic vacuum market with a 64% share by 2016.
• Rising competition from cheaper Chinese alternatives like Roborock and supply chain issues led to a decline in market share and revenue.
• An acquisition deal by Amazon for $1.7 billion collapsed in January 2024 due to antitrust concerns, leading to layoffs and financial distress.
• Picea Robotics, iRobot's Chinese supplier, will take over the company, wiping out $190 million in debt, with the Roomba brand continuing.

Why It Matters: Roomba creator iRobot files for bankruptcy, acquired by Chinese supplier Picea Robotics after Amazon deal failed.