Roomba Maker iRobot Files for Bankruptcy as Manufacturer Takes Control

The company behind the iconic Roomba robot vacuum has filed for Chapter 11 bankruptcy protection and agreed to a restructuring deal that will hand control of the business to its primary contract manufacturer.

iRobot, the Massachusetts-based robotics firm that helped popularize autonomous home vacuums, cited years of intense competition, rising costs, and a failed acquisition attempt as key factors in its financial decline.

Under the bankruptcy plan, Chinese manufacturer Picea Robotics will take full ownership of iRobot, which will become a privately held company as part of the process. The move comes after a planned sale to Amazon fell through due to regulatory scrutiny in 2024, and follows several rounds of layoffs and mounting debt.

Company leaders say the restructuring is intended to stabilise operations and preserve products, support and supply chains, while some observers point to shifting market dynamics and foreign competition as broader challenges for the consumer robotics sector.