iRobot, the Roomba maker, filed for Chapter 11 protection earlier this month. Co-founder and former CEO Colin Angle stated that unfair competition from Chinese rivals was a major factor in the company's downfall. The company is being acquired by its primary manufacturer, the Chinese firm Picea Robotics.
Angle asserted that Chinese competitors utilized their protected home market to grow rapidly, creating an uneven playing field. He also cited supply chain disruptions and rapid technological shifts as contributing challenges.
Angle further claimed that the failed $1.7 billion acquisition by Amazon, which regulators blocked, harmed iRobot, consumers, and the home robotics industry. The company faced mounting financial pressure, including increased costs stemming from U.S. tariffs on goods manufactured in Vietnam.