iRobot files for bankruptcy | Edge

After 35 years, the maker of the Roomba robot vacuum filed for bankruptcy protection late Sunday night. the next Issuing warnings Earlier this year, we were quickly running out of options, iRobot announced It will enter Chapter 11 protection and plans to be acquired by the contract manufacturer, China-based Picea Robotic.

The company says it will continue to operate “without any anticipated interruption to app functionality, customer programs, global partners, supply chain relationships, or ongoing product support.” This should mean that, at least for now, the Roomba will continue to clean your floors just like it did before.

The Massachusetts-based company has struggled for years amid increasing competition from Chinese manufacturers. iRobot is a leading home robotics company, founded in 1990 and launching its first Roomba robot vacuum in 2002.

Two decades later, while iRobot is the Kleenex of the robot vacuum space, its market share has eroded dramatically for companies like Ecovacs and Roborock. It seems that Amazon’s acquisition will reverse the company’s declining fortunes, however The deal collapsed Under regulatory scrutiny.

Since then, iRobot has It reinvented its production line lowering prices to better compete with competitors, and working with Picea Robotics to develop new Roombas. But it continued to see revenue decline. Reuters reports The US tariffs have hit the company hard, especially the 46 percent stake in Vietnam, where it makes robotic vacuum cleaners for the United States.

“Today’s announcement represents a pivotal milestone in securing iRobot’s long-term future,” said Gary Cohen, CEO of iRobot. “This transaction will strengthen our financial position and will help bring continuity to our clients, customers and partners.”