Amazon in $1.7 billion deal to buy maker of Roomba vacuum
Amazon is diving deeper into the connected-home market and consumer robotics with its latest acquisition.
The retail and tech giant has agreed to acquire iRobot, maker of the popular Roomba robotic vacuum, in an all-cash deal valued at about $1.7 billion, including debt. The deal marks Amazon’s second billion-dollar acquisition in less than a month (and fourth largest ever). In late July, the company entered into an agreement to acquire One Medical, a membership-based primary health care provider, for $3.9 billion
iRobot was founded in 1990 by the Massachusetts Institute of Technology roboticists. It is best known for its Roomba robot vacuum, which it introduced in 2002. The company has expanded its product portfolio over the years and it now includes technologies and advanced concepts in cleaning, mapping and navigation that are designed to help consumers make their homes easier to maintain and healthier places to live.
From Alex to Ring doorbells, Amazon has been expanding in the smart home space. In 2021, it introduced the Astro home assistant robot.
“Over many years, the iRobot team has proven its ability to reinvent how people clean with products that are incredibly practical and inventive — from cleaning when and where customers want while avoiding common obstacles in the home, to automatically emptying the collection bin,” said Dave Limp, senior VP of Amazon Devices. “Customers love iRobot products—and I’m excited to work with the iRobot team to invent in ways that make customers’ lives easier and more enjoyable.”
Earlier this year iRobot launched its new software platform, iRobot OS. The operating system is designed to take Roomba vacuum cleaners to the next level.
“Since we started iRobot, our team has been on a mission to create innovative, practical products that make customers’ lives easier, leading to inventions like the Roomba and iRobot OS,” said Colin Angle, chairman and CEO of iRobot. “Amazon shares our passion for building thoughtful innovations that empower people to do more at home, and I cannot think of a better place for our team to continue our mission. I’m hugely excited to be a part of Amazon and to see what we can build together for customers in the years ahead.”
Upon completion of the deal, which is subject to approval from shareholders and regulators, Angle will remain as CEO of iRobot.