Amazon buying iRobot in a $1.7 billion all-cash deal
Amazon is set to acquire Roomba manufacturer iRobot in a deal valued at $1.7 billion, the two companies announced on Friday.
iRobot Roomba. Credit: Onur Binay/Unsplash
The retail juggernaut will acquire iRobot for $61 per share in an all-cash deal.
Completion of the deal will be subject to shareholder approval, as well as the regulatory green light. iRobot CEO Colin Angle will continue to run the company if the deal goes through.
It will mark Amazon's fourth largest deal to date, behind its $13.7 billion acquisition of Whole Foods, its $8.45 billion purchase of MGM, and its $3.9 billion acquisition of primary card provider One Medical.
"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 Amazon Devices SVP Dave Limp. "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."
Founded in 1990 at MIT, iRobot is known for its popular Roomba robot vacuum that cleans floors automatically. Amazon is acquiring the firm just days after the robotics company announced a year-over-year decline in revenue.
This isn't Amazon's first foray into robotics technology. Back in September 2021, the company announced a smart home robot able deliver reminders or play TV shows. It has also experimented with delivery robots in pilot programs across the U.S.
Read on AppleInsider
iRobot Roomba. Credit: Onur Binay/Unsplash
The retail juggernaut will acquire iRobot for $61 per share in an all-cash deal.
Completion of the deal will be subject to shareholder approval, as well as the regulatory green light. iRobot CEO Colin Angle will continue to run the company if the deal goes through.
It will mark Amazon's fourth largest deal to date, behind its $13.7 billion acquisition of Whole Foods, its $8.45 billion purchase of MGM, and its $3.9 billion acquisition of primary card provider One Medical.
"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 Amazon Devices SVP Dave Limp. "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."
Founded in 1990 at MIT, iRobot is known for its popular Roomba robot vacuum that cleans floors automatically. Amazon is acquiring the firm just days after the robotics company announced a year-over-year decline in revenue.
This isn't Amazon's first foray into robotics technology. Back in September 2021, the company announced a smart home robot able deliver reminders or play TV shows. It has also experimented with delivery robots in pilot programs across the U.S.
Read on AppleInsider
Comments
Probably confirms there will never be any HomeKit support for Roomba vacuums. Just like with Ring.
There is literally no technical barrier to accepting Matter devices. It's Apple that is not allowing access to them in name of "security" but we can use the "HomeBridge" hack that allow HomeKit app to show non-HomeKit devices.
The retail grocery business is a tough one.
Still...
I would not underestimate Amazon long-term. They are a pretty smart company and have a long-term perspective.
In a way, Amazon is doing—in the larger physical world—what Apple does with digital hardware: An almost magical marriage of the two. Amazon is—in its essence—a software and logistics company. This is beneficial for running a food distribution and retail business.
So far, Apple has taken a somewhat narrow approach focusing only on media-related (e.g., audio and TV) products with a nod toward home control and automation with HomeKit.
Amazon may be taking a broader view.
Strategically it's important to see this. It may impact Apple's long-term success here. Personally, I think Apple made a strategic error by not buying Nest. Nest is the most conceptually aligned with what Apple is and does as a company. It would have been a great "toe in the water." and taking those products and Apple-izing them further could have been a huge win.
I contend that Apple's real core competency is marrying software and digital (to date) hardware. But it is not hard to imagine Apple extending this expertise to software and other kinds of hardware. Cars? That's the rumor. TVs? Rumored in the past. TV soundbars? This seems like a "duh" product (HomePod TV w/Apple TV integrated) for Apple. How about home appliances? Probably a stretch but...who knows. Perhaps our appliances could use an Apple-like dose/touch of software and digital technology.
Is this Amazon's game? Hard to say. But I'm betting they have a long-term vision here. There's a long-term "puzzle" they are putting together and the safe bet is that iRobot is a piece of that puzzle and its relationship to Apple is whether this is a "flank move" in the home.
another year or more for amazon to completely replace the management and culture. Then another year before they seriously start implementing their spyware. One of my Roombas has no camera. The other does but is already a year old. I doubt the really intrusive things will get pushed to either of mine. Plus the older one will be close to wearing out by then. I think I’m ok for the moment.
Second though was when I found out that for years returns were just dumped in the landfill. They made no pretence of sorting, restocking, and reselling stuff that had gone out and had been returned. It was cheaper for them to just dump it. Bad for the environment, but it was cheaper.
Then there’s how they treat their employees.
The final straw though was over a couple of years I had six purchases in a row of equipment. Drives, USB hubs, a few other things. I discovered that it was often impossible to tell what was a real product and what was a Chinese rip off version sold by some “partner”. After the last piece of absolute junk that came with a fake brand name label on it I just walked away. There is nothing from Amazon that I need that bad.