SAN FRANCISCO, Aug 6 — Amazon yesterday announced a US$1.7 billion (RM7.5 billion) deal to buy the maker of robotic vacuum Roomba in a merger that would play into the tech giant’s artificial intelligence and smart home ambitions.

US-based iRobot is a global company that builds robots and "intelligent home” innovations, having introduced Roomba self-operating vacuums a decade ago, Amazon said in a release.

"Over many years, the iRobot team has proven its ability to reinvent how people clean with products that are incredibly practical and inventive,” said Amazon senior vice president of devices Dave Limp.

Amazon’s deal to buy iRobot for US$61 per share along with acquiring the company’s debt is subject to approval of shareholders and regulators.

Colin Angle is to remain chief executive of iRobot after the purchase.

The acquisition "reinforces Amazon’s interest and market position in robotics and home automation, and underscores the strategic value of AI,” Baird analyst Colin Sebastian said in a note to investors.

The Massachusetts-based company has a 30-year track record in robotics, and underlying software such as mapping and navigation, Sebastian said.

Amazon has been investing in smart home and automation technologies with acquisitions such as Ring doorbells, Kiva warehouse robots and self-driving startup Zoox.

"With Alexa and Amazon.com at the core, Amazon continues to prioritize opportunities to develop the smart home,” Sebastian said.

"MGM even fits as it powers more Prime Video on home entertainment devices.” Amazon earlier this year closed an US$8.45 billion deal to buy the storied MGM studios, boosting its streaming ambitions with a catalogue including the James Bond and Rocky film franchises. — AFP