The hardware world endured a brutal week. iRobot, Luminar, and Rad Power Bikes all filed for bankruptcy. Each company faces its own distinct mix of challenges, including tariff pressures, supply chain issues, and shifting market demands. Together, however, they tell a larger story about the difficulties of building physical products in an era defined by global trade tensions and intense overseas competition.
From the Roomba maker that nearly was acquired by Amazon to the e-bike company that could not escape its reliance on a Chinese supply chain, this week’s bankruptcies serve as a warning sign for hardware startups everywhere.
On today’s episode of TechCrunch’s Equity podcast, hosts Anthony Ha, Rebecca Bellan, and Sean O’Kane discuss what went wrong for these three once-promising hardware companies. The episode also covers Amazon’s reportedly massive investment bet on OpenAI and the new approach to AI regulation from the Trump administration.