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Amazon terminates iRobot deal, Roomba maker to lay off 31% of staff (www.cnbc.com)

submitted 9 months ago by L4s to c/technology

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Amazon terminates iRobot deal, Roomba maker to lay off 31% of staff::Amazon and iRobot said regulatory concerns made it impossible for the deal to move forward, sending the Roomba makers' shares plummeting.

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[–] Copernican 2 points 9 months ago* (last edited 9 months ago)

It really depends on redundancy. Does Amazon have people that can do what iRobot staff does. For operational or sales teams maybe. If Amazon becomes the only store where you can buy a roomba, you probably lay off folks responsible for wholesale. That probably also means you lay off some marketing. But the core people that make the stuff probably have less redundancy. These layoffs are probably impacting the people that actually make and design the stuff, since they no longer or going to make all the stuff they planned. The hypothetical layoffs for acquisition would probably be smaller and impact different people at the company. And because it's an acquisition, there may have been negotiated more favorable severance terms,