Acquisition Completed, iRobot Outlines Plans for US/EU Consumer Data Protections

iRobot Friday announced that it has completed the Chapter 11 process. The news arrives just over a month after the Roomba maker detailed the bankruptcy, as well as its subsequent acquisition by Shenzhen Picea Robotics.

The process was expedited as a “pre-packaged” chapter 11, meaning the terms of the transaction were agreed to prior to the bankruptcy declaration. Conveniently, the two parties were already in business together, as iRobot’s new owner has also served as a contract manufacturer for the Roomba (along with competitors like Shark and Dyson).

U.S.-based critics of the deal have raised concern about the consumer robotics stalwart’s acquisition by a China-based firm. Notably, Amazon had agreed to purchase iRobot in 2022, but regulatory scrutiny halted the $1.4 billion deal before the plug was pulled in 2024. The extended waiting period ultimately found iRobot grabbling with $191 million in outstanding debt, which was purchased by a Picea subsidiary prior to this acquisition.

iRobot has had brushes with privacy advocates in the past, as more recent Roomba models utilize cameras and cloud connectivity for indoor navigation. As part of this deal, the company are announcing iRobot Safe Corporation, a subsidiary designed to manage data concerns in the U.S. and European Union.

The companies writes,

iRobot Safe as well as other iRobot controls are designed to maintain a clear separation between iRobot's non-U.S. ownership and its U.S. and other global consumer data. iRobot Safe will be governed by an independent board composed of U.S. citizens and will include an independent US-based Data Security Officer with data protection authority and an iRobot Safe Chief Executive Officer, each subject to strict eligibility requirements. This structure and other controls are intended to provide regulators, consumers, and partners with confidence that iRobot's data governance framework is designed to protect U.S. and other global consumer data remains transparent, enforceable, and effective following the transaction.

iRobot says it will also maintain its longtime headquarters in Bedford, Massachusetts, outside of Boston. The U.S. offices will include engineering, product development, and marketing roles. For decades, iRobot has been a key driver for robotics jobs on the Eastern Seaboard, though recent struggles have seen the company navigate large scale layoffs.

Gary Cohen, who took over for cofounder and CEO Colin Angle in 2024, has stayed on during the transition.

"It has been a privilege to lead iRobot through this pivotal period, and I'm incredibly proud of the team's resilience, focus, and commitment to our customers," Cohen says in a release. "Building on iRobot's strong foundation, I look forward to working with the Picea leadership team as we enter our next chapter with renewed momentum. My conviction in iRobot has never been stronger, and together with Picea, we are focused on delivering reliable, high-quality products, supporting our customers, protecting consumer data, and operating with discipline as we move forward.