iRobot filed for Chapter 11 bankruptcy protection and announced a court-supervised plan to sell substantially all of its assets and one hundred percent of its shares to its primary supplier and contract manufacturer, Picea Robotics, identified as Shenzhen PICEA Robotics Co.Under the proposed transaction Picea would assume liabilities, eliminate debts, inject new capital to stabilise operations, preserve supply relationships and continue production and customer support, and iRobot said it expects the sale will close in February 2026 if a U.S. bankruptcy court approves the deal.Gary Cohen said the restructuring and proposed sale mark a pivotal milestone to secure iRobot's long-term future, and the filing follows years of pressure from lower-cost rivals such as Ecovacs and Roborock, steep tariffs and rising costs, a failed earlier acquisition attempt by Amazon and a dramatic decline in revenue and the workforce that left the company heavily leveraged.