Due to opposition from the European Union, Amazon and iRobot have decided to abandon their plans to merge.

The deal was aimed at supporting iRobot's continuous innovation and enabling it to offer products at reduced prices.

Amazon's decision to cancel the acquisition was due to the lack of a viable route to obtaining regulatory approval in the EU. 

Amazon's Senior Vice President and General Counsel, David Zapolsky, expressed disappointment with the inability to proceed with the acquisition. 

iRobot plans to terminate the employment of 350 individuals, which accounts for 31 % of its workforce as of December 30, 2023. 

iRobot has a market capitalization of less than $400 million after the announcement and previous reports of the European Commission's intention to obstruct the agreement. 

Restructuring costs are expected to be around $12 million to $13 million, primarily for severance payments and associated expenses.

Amazon has agreed to pay $94 million to iRobot for a termination fee, indicating a significant change in leadership plans for the company.