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Beijing-based robot vacuum maker Roborock revealed a new model in January 2025 with an artificial intelligence-powered folding arm for removing obstacles.
CNBC | Evelyn Cheng
BEIJING — Chinese robot vacuum cleaner company Roborock revealed a new model on Monday that comes with a folding arm for removing socks and other obstacles — a feature powered by artificial intelligence.
It’s the latest step toward what Roborock President Quan Gang expects will be the inevitable: that robot vacuum cleaners become as essential as washing machines.
That’s something that could happen in as soon as three years, especially with the emergence of AI, Quan told CNBC in a late November interview. “If the era of AI flourishing has really arrived, I’m confident that robot vacuum cleaners will be the first category to apply AI,” he said in Mandarin, translated by CNBC.
Using AI that the company developed, the Roborock Saros Z70 can detect and remove obstructions such as socks, small towels, tissues and sandals weighing less than 300 grams (10.58 ounces), according to the company.
The Saros Z70 is set for release in major global markets in the first half of the year, but Roborock has yet to announce pricing. The product reveal comes ahead of the Consumer Electronics Show that kicks off Tuesday in Las Vegas.
Ever since Massachusetts-based iRobot launched its Roomba floor vacuuming robot in 2002, the circular machines have evolved to include mopping and the ability to automatically return to the charging base. Many companies, including several based in China, now sell robot vacuum cleaners.
Beijing-based Roborock started selling to the U.S. in 2018, Quan said, noting that sales in the country didn’t start to take off until 2023. Roborock also sells its robot vacuums in countries such as Germany, China and South Korea, and makes sure to adhere to local data privacy rules, Quan said.
But robot vacuum penetration rates remain low — just over 10% in developed countries and single digits in developing countries, Quan said. He said that’s both a challenge and a potential for growth, which he expects can get a boost from the integration of artificial intelligence.
The Verge and Wired late last year both named different Roborock models the best robot vacuum available. But the machines aren’t cheap.
“Roborock’s S8 MaxV Ultra ($1,799.99) is an exceptional vacuum cleaner,” The Verge said, noting it is “the best model in the relatively new category of ‘hands-free’ robot vacs, bots that do virtually everything for you: empty their bins, refill their mop tanks, and clean and dry their mop pads.”
“Roborock invented this category with the S7 MaxV Ultra and has been steadily improving it,” The Verge said.
Wired selected Roborock’s Qrevo S, which sells for $800 on Amazon. The review highlighted the Qrevo’s lidar-based navigation and AI feature which enable the machine to distinguish between carpets and tiles for vacuuming or mopping, respectively.
Competition is fierce. CNET said two other companies’ robot vacuums tied for best of 2025, the $900 Ecovacs Deebot T30S Combo — which also has a self-emptying dustbin — and the $359 iRobot Roomba Combo J7 Plus.
Supporting an AI research lab
Shares of Shanghai-listed Roborock closed 2.6% higher Friday after reports emerged of the Saros Z70 and its robotic arm. The stock climbed 10.3% in 2024.
Operating revenue rose by 23.2% for the first three quarters of 2024 to 7 billion yuan ($960 million), with profit of 1.47 billion yuan. Roborock does not break out revenue by region.
Quan said that soon after Roborock’s founding in July 2014, the company sensed the importance of artificial intelligence and set up a dedicated lab in Shanghai and a research institute in Shenzhen. Each location houses around 30 researchers, who only need to focus on technology, in contrast to the product development team that must meet deadlines and consider profit, Quan said.
The next challenge is to expand the number of researchers to around 300 people, Quan said, noting it’s been hard to find qualified talent.
The company spent 9.1% of its operating revenue in the first three quarters of 2024 on research and development, according to CNBC calculations of public figures. That’s up from slightly more than 7% in each of the past three years, the data showed.
Roborock on Monday also announced updates to its washing machines, which can dry clothes in the same unit.
Check out the companies making headlines in after-hours trading. Cal-Maine Foods – Shares gained 4% after the egg production company posted its latest quarterly results . For its second quarter of fiscal 2025, Cal-Maine Foods earned $4.47 per share on revenue of $954.7 million, with the latter figure marking an 82% increase compared to the year-ago quarter. The results were not comparable to the Street’s estimates due to thin coverage. AAR Corp – Shares of the aviation services provider advanced around 4% after the company’s fiscal second-quarter results beat Wall Street’s expectations. AAR Corp posted adjusted earnings of 90 cents per share on revenue of $686.1 million, more than the 85 cents per share and $654.2 million that analysts were expecting, according to FactSet. AZZ – The stock moved about 1% higher following the metal-coatings company’s better-than-expected third-quarter results. AZZ posted adjusted earnings of $1.39 per share on revenue of $403.7 million. That’s above the $1.26 per share and $394.3 million in revenue that analysts polled by FactSet had penciled in. Getty Images – Shares of the image database slid 4%. In Tuesday’s regular session, Getty soared more than 24% and Shutterstock popped nearly 15% after the companies announced a $3.7 billion merger . Shutterstock was little changed in after-hours trading.
Howard Marks, one of the most respected value investors who famously foresaw the dotcom bubble, is pointing out a handful of red flags in the market like valuation that could mean poor returns over the long term or a sizable decline nearer term. In his latest memo to clients, the co-founder and co-chairman of Oaktree Capital Management laid out five cautionary signs he’s seeing in the stock market after the S & P 500 ‘s best two-year run since 1998. Marks made clear that he’s not necessarily calling a bubble in stocks since his specialty lies in credit these days, but the memo focuses on signs of froth in equities. “It shouldn’t come as a surprise that the return on an investment is significantly a function of the price paid for it. For that reason, investors clearly shouldn’t be indifferent to today’s market valuation,” Marks wrote. Marks’ memo pegs the S & P 500’s current price-to-earnings ratio at 22. Using data from JPMorgan Asset Management, Marks explained that higher PE ratios have historically led to lower returns in the long run. Today’s multiple of 22 is near the top of the range, and this level would translate into 10-year returns between plus 2% and minus 2%, the data showed. Rather than poor performance in the long term, it’s also possible that the correction on the multiple is compressed into a short period of time, resulting in sharp, sudden sell-offs much like when the internet bubble burst in the early 2000s, Marks noted. .SPX 1Y mountain S & P 500 Apart from valuation, Marks specifically took issue with the “enthusiasm that is being applied to the new thing of AI.” Artificial intelligence emerged as the biggest investing theme over the past two years, pushing key beneficiaries like Nvidia to jaw-dropping prices. This AI enthusiasm might also have been extended to other high-tech areas, Marks added. Meanwhile, the “implicit presumption” that the biggest seven companies will be too big to fail also concerned him, he said. The so-called Magnificent 7 stocks — a group that includes high fliers such as Nvidia , Microsoft , Apple and Meta Platforms — was responsible for more than half of the S & P 500’s 2024 gain , according to Bespoke Investment Group. Many are still seeing more gains ahead for these juggernauts. Marks, whose firm managed $205 billion in assets under management as of September, also raised the question whether some of the S & P 500’s advance came from automated buying from passive investors, who don’t take value factors into consideration. The 78-year-old investor started writing investment memos in 1990 and they have become required reading on Wall Street. Even Warren Buffett has said he reads them regularly and always learns something from them. Marks said he has been thinking a lot lately of a quote often attributed to Buffett: “When investors forget that corporate profits grow about 7% per year, they tend to get into trouble.” But Marks said he asked his friend Buffett about that phrase and the legendary investor said he never said that. “But I think it’s great, so I keep using it,” wrote Marks.
Check out the companies making headlines in midday trading. Nvidia — Shares of the artificial intelligent darling slid 5%, reversing course after rising to an all-time high earlier in the session. Nvidia announced new gaming chips for computers that use its Blackwell technology at a conference in Las Vegas. Tuesday’s slide comes after a strong 2024 for Nvidia, during which it was one of the best performers in the S & P 500 . UniFirst — The school and work uniform maker jumped 18% after competitor Cintas confirmed it submitted a proposal to acquire the company for $275 per share in cash. The Wall Street Journal first reported the development. Cintas shares rose 2%. Getty Images , Shutterstock – The two image databases surged on the heels of the companies’ announcing a $3.7 billion merger , with the new entity keeping the Getty name. Following the announcement, Getty jumped more than 24%, while Shutterstock gained nearly 20%. Aurora Innovation — Shares soared 37% after the self-driving technology firm announced a partnership with Nvidia and Continental. The agreement is focused on rolling out driverless trucks. Inari Medical — Shares surged 22% after Stryker said it would buy the medical device maker in a transaction valued at about $4.9 billion, or $80 per share in cash. Stryker shares shed 1.6%. FuboTV — The streaming service jumped nearly 7%, adding to the 251% it gained in the previous session. On Monday, Disney announced it will combine its Hulu+ Live TV service with Fubo. Disney will own 70% of the company, while Fubo shareholders will own 30%. Micron Technology — The chipmaker jumped 3%, extending Monday’s 10% gain. This week’s bump came after Nvidia CEO Jensen Huang said it’s sourcing Micron’s G7 memory for new AI-powered graphic processing units. Moderna — The pharmaceutical stock rallied 11%. Moderna is one of few drugmakers currently developing a vaccine for bird flu, a disease that’s been pushed in the spotlight after the U.S. recorded its first human death. Paychex — The human resources stock added 2% after entering a definitive agreement to acquire HR software provider Paycor for $22.50 a share. Paycor shares, on the other hand, slipped 3%. Tesla — The electric vehicle giant slipped 4% in the wake of a Bank of America downgrade to neutral from buy. The bank cited execution risks and a lofty valuation as reasons for pause. Carvana — Shares added about 7% after RBC upgraded the online car seller to an outperform rating from sector perform. Analyst Brad Erickson said that a “controversial pullback” last month has opened up an attractive buying opportunity for the stock. — CNBC’s Yun Li, Jesse Pound, Lisa Han, Michelle Fox, Sean Conlon and Sarah Min contributed reporting