Mapping out a future with many obstacles iRobot says there is substantial doubt about it as a going concern After Amazon bid failure, firm cut 50% of staff and is launching new robots. Kevin Purdy Mar 12, 2025 11:59 am | 32 The Roomba 505 vacuum, which can detect carpets and avoid obstacles, other than the macroeconomic variety. Credit: iRobot The Roomba 505 vacuum, which can detect carpets and avoid obstacles, other than the macroeconomic variety. Credit: iRobot Story textSizeSmallStandardLargeWidth *StandardWideLinksStandardOrange* Subscribers only Learn moreRobotics firm iRobot, originator of the robotic vacuum Roomba facing stiff competition from lower-priced competitors, told investors Tuesday that there was "substantial doubt" about the company's survival "as a going concern" in the next year or so.Investors took iRobot at its word, and its stock price had fallen nearly 40 percent as of 10:20 am Wednesday from the day before. The dire accounting language and market reaction are nothing new for tech firms, but iRobot's annual report suggests deeper issues than investor confidence. The company saw revenue drop 47 percent in the fourth quarter, it is actively seeking to renegotiate its largest loans, and it has launched a "formal strategic review" to consider refinancing, sale, or other alternatives.The shaky world of consumer roboticsiRobot's fortunes have changed dramatically since 2022, when Amazon announced a $1.7 billion bid to buy the struggling but prominent firm.Amazon had long been active in warehouse and logistics robotics but had shown interest in home automation with its quirky Astro bot, which has taken a long time to roll out to very few peoplebut is still technically available as an invite-only preview at $1,600. The version aimed at businesses was bricked, and refunds were givenlast summer.Regulators in Europe could not be convinced that the owner of the world's largest online storefront would not use its leverage to harm rival robot vacuum makers' chances. Lobbying group Computer & Communications Industry Association protested at the time, suggesting there was "no plausible risk to competition from a US retailer acquiring a struggling US vacuum maker in a sector overtaken by dynamic Chinese manufacturers."But both EU regulators and the US Federal Trade Commission expressed concerns over not just market advantageslike the "Works with Alexa" or "Amazon's Choice" labelsbut the data privacy concerns of Amazon having access to maps of consumers' homes. The deal was scuttled in late January 2024, leading to layoffs of more than 30 percent of iRobot's workers, the resignation of co-founder Colin Angle as CEO, and a refocusing on cleaning products, which trimmed off iRobot's air purifiers, lawn mowing, and education initiatives.Back to the Roomba, now with lidar The Roomba 105, scanning and mapping with new lidar powers. Note: Lidar is not green or visible to human eyes. Credit: iRobot The Roomba 105, scanning and mapping with new lidar powers. Note: Lidar is not green or visible to human eyes. Credit: iRobot iRobot has cut its staff by 50 percent since the failed Amazon acquisition, and it states in its annual report that it has lowered sales and marketing costs, reduced product research and manufacturing costs, and is focusing on its widely known Roombas.Not coincidentally, iRobot yesterday announced eight new vacuum models in what it calls its "largest product launch" in its 20-year history. The vacuums and vacuum/mop combos have markedly new looks and, in a first for Roombas but not its competitors, lidar navigation and mapping features and, on some models, "AI technology." Mopping models now feature dual scrubbing pads and carpet detection.Another big change is that the new Roombas have model names that may make sense to humans. The simpler bots are the 105s, and the most feature-packed models are the 505s. You will not need a personal spreadsheet to understand what you're getting with the 10 Max versus the j9+ or maybe the i5.The pricing on all modelsbetween $300 and $1,000seems notably more in line with competitors from Ecovacs, Roborock, and other robovac makers. They are available on March 18 for preorder on iRobot's site in the US and some European markets.Just be aware that iRobot has stated that its products face issues with "consumer demand, competition, macroeconomic conditions and tariff policies," and that its existence beyond 12 months is far from certain.Kevin PurdySenior Technology ReporterKevin PurdySenior Technology Reporter Kevin is a senior technology reporter at Ars Technica, covering open-source software, PC gaming, home automation, repairability, e-bikes, and tech history. He has previously worked at Lifehacker, Wirecutter, iFixit, and Carbon Switch. 32 Comments