Roomba Maker iRobot Files for Bankruptcy, Shenzhen PICEA to Take Over

• iRobot filed for Chapter 11 bankruptcy on December 14 after years of struggle and increased competition in the robot vacuum market.
• The bankruptcy deal will transfer control of iRobot to its main supplier and lender, Shenzhen PICEA Robotics, and Santrum Hong Kong.
• iRobot will continue its business operations as usual during the bankruptcy process, including paying employees and selling products.
• The company, known for Roomba, faced challenges from falling sales, supply problems, and a market flooded with cheaper competitors after 2021.
• An attempted acquisition by Amazon in 2023 failed due to regulatory roadblocks, contributing to iRobot's current financial situation.

Why It Matters: It highlights how quickly even familiar tech brands can lose their footing.