iRobot Roomba goes bankrupt as China firm takes over
Why the robot vacuum company filed for Chapter 11 bankruptcy
Christian Saclao
Tue, December 16, 2025 at 8:00 AM EST
3 min read
In this article:
Once hailed as a pioneer of smart-home technology, the company that brought robot vacuums into everyday households is now facing a harsh reality. iRobot, the maker of Roomba, has filed for Chapter 11 bankruptcy, as a Chinese firm steps in to take control. The collapse marks a stunning reversal for a brand that once dominated its category — so what really led to this dramatic downturn?
The road to iRobot’s bankruptcy
iRobot filed for Chapter 11 bankruptcy roughly two years after its planned $1.4 billion merger with Amazon fell through. The collapse of that deal left iRobot with a $200 million loan, taken out to sustain operations during the merger review.
Before the bankruptcy filing, iRobot struggled to compete with cheaper foreign rivals, particularly Chinese brands, which eroded its market share. The company also faced rising costs from trade tariffs. Although most Roombas are manufactured in Vietnam, iRobot was hit with new import fees under trade policies enacted during the Trump administration.
Throughout 2025, the company’s losses continued to mount. U.S. revenue fell by 33% in the latest quarter, and as early as March, iRobot had warned of potential bankruptcy, citing weak consumer demand, fierce competition, and rising import costs as key pressures threatening its business.
The bankruptcy filing revealed that iRobot owes $3.4 million to U.S. Customs and Border Protection in unpaid tariffs, in addition to nearly $100 million owed to Shenzhen Picea Robotics, Roomba’s main manufacturer in China.
What’s next for iRobot
Shenzhen Picea Robotics is set to take control of iRobot, reassuring customers that their Roomba devices will continue operating without interruption. Under the bankruptcy plan, iRobot will transition from a publicly traded company to a private subsidiary of Picea.
The Chinese firm produces its own line of household appliances under the brand 3i and also lists well-known names like Shark and Anker—which manufactures Eufy vacuums—on its website, highlighting its growing presence in the global smart-home market.
Who founded iRobot
iRobot was founded in 1990 by a team of researchers from the Massachusetts Institute of Technology (MIT), including Rodney Brooks, Colin Angle, and Helen Greiner. The company initially focused on developing advanced robotics for practical applications beyond the consumer market. Early iRobot creations were designed for challenging and high-stakes environments, such as assisting the U.S. military with bomb disposal and reconnaissance missions. Its robots also gained attention for unique projects like exploring the hidden chambers of the Great Pyramid of Giza and helping monitor environmental disasters, including tracking the spread of oil during spills in the Gulf of Mexico.
Story Continues
Building on this technological foundation, iRobot eventually turned its attention to the consumer market, aiming to bring robotics into everyday homes. The company launched a range of household devices designed to automate mundane chores, making everyday life easier for homeowners. Among its earliest successes were robotic pool cleaners and floor-cleaning devices, with the Roomba quickly becoming its flagship product.
The Roomba, first introduced in 2002, revolutionized the way Americans approached home cleaning. Its combination of affordability, ease of use, and cutting-edge sensors allowed it to navigate homes autonomously, gaining a loyal following and turning iRobot into a household name. Over the years, the company expanded its product line and built a reputation not just for smart cleaning devices, but as a pioneer in consumer robotics—blending advanced engineering with practical, everyday solutions.
Source: NPR
Read the original article on GEEKSPIN. Affiliate links on GEEKSPIN may earn us and our partners a commission.
View Comments