Posted on 12/15/2025 10:24:35 AM PST by SeekAndFind
iRobot, the maker of the Roomba vacuum cleaner, filed for bankruptcy protection on Sunday, saying that it would go private after being bought by Picea Robotics, its primary manufacturer.
The company, which raised concerns about staying in business in March, filed for Chapter 11 protection in Delaware bankruptcy court as it grapples with increased competition from lower-priced rivals and new U.S. tariffs.
iRobot generated about $682 million in total revenue in 2024, but its profits have been eroded by competition from Chinese rivals like Ecovacs Robotics. iRobot remains dominant in key markets like the U.S. and Japan, but competition forced it to lower its prices and make substantial investments in technological upgrades, according to bankruptcy court filings.
New U.S. tariffs have also harmed the company, especially a 46% levy on imports from Vietnam, where iRobot manufactures vacuum cleaners for the U.S. market. The tariffs raised the company’s costs by $23 million in 2025, while making it more difficult to plan for the future, according to iRobot's court filings.
The company, which was the target of a thwarted $1.4 billion buyout by, has about $190 million in debt.
The debt stems from a 2023 loan that iRobot used to refinance its operations while a European competition investigation stalled the Amazon deal.
After the Amazon deal fell apart and iRobot fell behind on payments to Picea, the China-based manufacturer acquired iRobot's debt from a group of investment funds managed by the Carlyle Group, according to court documents.
Under iRobot's bankruptcy plan, Picea will take 100% of the company's equity and cancel the $190 million remaining on the 2023 loan, as well as an additional $74 million debt that iRobot owes to Picea under the companies' manufacturing agreement.
Other creditors and suppliers will be paid in full,
(Excerpt) Read more at reuters.com ...
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We have two Roombas - makes vacuuming easy!
It was always a novelty and at best no better than just sweeping.
Better than the videos of Roomba vs dog poop.
Manufacture in the U.S.
My wife used to rent from one of the guys who invented these things. He was a very smart guy that went to MIT.
He made a lot of money and lives over on the seacoast now. Used to live over here west of Nashua.
I think he might have cashed out years ago.
Like never have to work again, cashed out.
Good for him. America is great.
It will be interesting to see a logical analysis of the impact of tariffs on manufacturing. Are tariffs blamed because they are an easy scapegoat and the real problem was bad management?
I have yet to see a logical, practical article on tariffs. Everything written seems to just be cheerleading for my side or booing from the other side.
How and where is manufacturing increasing or decreasing and what is the role of tariffs in that? Note this is limited to manufacturing. Agriculture, Intellectual property and other areas might be a separate discussion.
Hey, maybe mine will become a collector’s item. I got it for the cat but the cat never took to it.
Joke I heard today.
I had to throw out my vacuum cleaner.
It was just gathering dust.
I don’t have this brand, but I love mine. Sometimes I look at it and wonder what are you doing?
It was a stupid idea to begin with. I’m surprised it’s taken this long to go out of business.
My roomba somehow made it out the back door and into the yard. We found it all beat up and scratched.
Nature abhors a vacuum.
Lina Khan & the EU made this bankruptcy happen. iRobot would have stayed an American company but that’s now gonna end.
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