This item was introduced for Super Smash Bros. for Nintendo 3DS and Wii U. It was revealed on Sakurai's Miiverse page and simultaneously on the current Super Smash Bros. Official Website. The Beetle originates from The Legend of Zelda: Skyward Sword. It was used to pick up things from a far distance. In the new Smash Bros., one can throw it at other characters and carry them into the air.
The Beetle is an item which can be thrown at opponents. It will travel in a straight direction until it hits an opponent. It will carry them into the air past the Upper Blast Line, Star KOing them. However, if the opponent to which the Beetle is headed hits it with enough force, the Beetle's direction will change. Also, the grabbed person can Button mash to escape.
A remote-controlled item shaped like a little bug, Link used this item in his adventures to collect far-off items. In Smash Bros., tossed Beetles will fly straight ahead, grab foes, and carry them into the sky. If one grabs you, wiggle with all your might to break free!
Wii - The Legend of Zelda: Skyward Sword (11/2011)