Even though most Internet of Things (IoT) companies are currently focused on developing and selling connected hubs and platforms, the real business lies in selling services. As SmartThings’ recent partnership with Cross Country Home Services highlights, the profit for the connected platform lies in the service of timely, convenient home maintenance, facilitated by connecting homeowners with the warranty provider’s network of 150,000 contractors. Moreover, as homes get more connected, the massive amounts of data the sensors produce could reveal the flaws in generically set home insurance plans, potentially upending the whole home insurance industry.
SmartThings, a developer of software and hardware powering the Connected Home, released some surprising data points based on their network of 10,000 users. According to the startup, those active homes generate 150 million data points a day. Currently, those data points are being used to inform the smart home devices, but imagine a world where that data could inform auxiliary products and services. This would create a world of anticipatory computing, where your lights dim when you start Netflix or your oven logs all the recipes you’ve seen on TV.