Amazon's proposed acquisition of iRobot has no
path to regulatory approval in the European Union, preventing
Amazon and iRobot from moving forward together—a loss for
consumers, competition, and innovation.
SEATTLE and BEDFORD,
Mass., Jan. 29, 2024 /PRNewswire/ -- Today Amazon
(NASDAQ: AMZN) and iRobot (NASDAQ: IRBT) announced that they have
entered into a mutual agreement to terminate their previously
announced acquisition agreement, originally signed on August 4, 2022, under which Amazon would have
acquired iRobot for cash consideration. This deal would have
allowed Amazon to invest in continued innovation by iRobot and
support iRobot in lowering prices on products customers already
love. The companies released the following statements today about
the decision:
"We're disappointed that Amazon's acquisition of iRobot could
not proceed," said David Zapolsky,
Amazon SVP and General Counsel. "We're believers in the future of
consumer robotics in the home and have always been fans of iRobot's
products, which delight consumers and solve problems in ways that
improve their lives. Amazon and iRobot were excited to see what our
teams could build together, and we're deeply grateful to everyone
who worked tirelessly to try and make this collaboration a reality.
This outcome will deny consumers faster innovation and more
competitive prices, which we're confident would have made their
lives easier and more enjoyable. Mergers and acquisitions like this
help companies like iRobot better compete in the global
marketplace, particularly against companies, and from countries,
that aren't subject to the same regulatory requirements in
fast-moving technology segments like robotics. Undue and
disproportionate regulatory hurdles discourage entrepreneurs, who
should be able to see acquisition as one path to success, and that
hurts both consumers and competition—the very things that
regulators say they're trying to protect."
"iRobot is an innovation pioneer with a clear vision to make
consumer robots a reality," said Colin
Angle, Founder of iRobot. "The termination of the agreement
with Amazon is disappointing, but iRobot now turns toward the
future with a focus and commitment to continue building thoughtful
robots and intelligent home innovations that make life better, and
that our customers around the world love."
The companies have signed a termination agreement that resolves
all outstanding matters from the transaction, including Amazon
paying iRobot the previously agreed upon termination
fee.
About Amazon
Amazon is guided by four principles:
customer obsession rather than competitor focus, passion for
invention, commitment to operational excellence, and long-term
thinking. Amazon strives to be Earth's Most Customer-Centric
Company, Earth's Best Employer, and Earth's Safest Place to Work.
Customer reviews, 1-Click shopping, personalized recommendations,
Prime, Fulfillment by Amazon, AWS, Kindle Direct Publishing,
Kindle, Career Choice, Fire tablets, Fire TV, Amazon Echo, Alexa,
Just Walk Out technology, Amazon Studios, and The Climate Pledge
are some of the things pioneered by Amazon. For more information,
follow @AmazonNews.
About iRobot
iRobot is a global consumer robot company
that designs and builds thoughtful robots and intelligent home
innovations that make life better. iRobot introduced the first
Roomba robot vacuum in 2002. Today, iRobot is a global enterprise
that has sold more than 50 million robots worldwide. iRobot's
product portfolio features technologies and advanced concepts in
cleaning, mapping and navigation. Working from this portfolio,
iRobot engineers are building robots and smart home devices to help
consumers make their homes easier to maintain and healthier places
to live. For more information about iRobot, please visit
www.irobot.com.
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SOURCE iRobot Corporation