Two decades after it ignited a market for robot vacuums in homes, iRobot has filed for Chapter 11 bankruptcy protection. The company, best known for its Roomba robot vacuums, entered the filing late Sunday night after months of warning signs and financial pressure.
Under the proposed restructuring, iRobot will be acquired by its primary manufacturing partner, China-based Shenzhen Picea Robotics.
The company said it will continue to offer robots and smart home devices to consumers.
Massachusetts-based iRobot, which launched the first Roomba in 2002, was once synonymous with the category it helped invent. But years of mounting robot vacuum competition, particularly from Chinese brands like Ecovacs and Roborock, have eroded its market share.
An attempted lifeline came in the form of an Amazon acquisition in 2022, which promised to bolster iRobot's position in the smart home space. However, that deal was ultimately scuttled by regulators on both sides of the Atlantic, leaving iRobot to fend for itself amid fierce competition.
In response, iRobot revamped its product line and worked with Picea to bring newer models to market, while also slashing prices to stay competitive. Despite those efforts, the company continued to lose ground. US tariffs didn't help.
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What the iRobot bankruptcy means for you
The acquisition by Picea, a contract manufacturer that already builds many of iRobot's products, is intended to allow operations to continue without interruption.
"Today's announcement marks a pivotal milestone in securing iRobot's long-term future," Gary Cohen, iRobot's chief executive officer, said in a statement Sunday. "The transaction will strengthen our financial position and will help deliver continuity for our consumers, customers, and partners."
But while iRobot products remain on sale through major retailers including Amazon and Best Buy, whether you should still buy one, given the bankruptcy filing, is a complicated question.
"This will rightly have prospective buyers questioning whether to add one to their cleaning arsenal despite the company's promise to continue operating without disruption," CNET shopping expert Adam Oram said. "I wouldn't advise that shoppers rule out a Roomba on this news alone, with many discounted Roomba deals still offering great value even if the longevity of the product remains unknown."
Oram notes that iRobot's products are highly rated among users.
But smart home history isn't exactly full of happy endings. Support can disappear quickly when companies change hands, and even well-intentioned promises can get lost in the shuffle of restructuring.
So yes, you can still buy a Roomba, and in the short term, it'll likely work just fine. But if you're shopping for a robot vacuum with years of app updates and new features in mind, you might want to look at Roomba alternatives from brands with a clearer future. Oram suggested Roborock, Ecovacs and Eufy, in particular.
iRobot, founded in 1990, says it plans to be in the game for the long haul.
"By combining iRobot's innovation, consumer-driven design, and R&D with Picea's history of innovation, manufacturing, and technical expertise, we believe iRobot will be well equipped to shape the next era of smart home robotics," Cohen said in the company's statement.