I would not even consider buying the hardware that keeps my pipes from freezing if it depends on an internet connection.
I'm happy if there are non-critical OPTIONS available that use the internet (e.g., as another poster mentioned, available optimizations based on real-time elec rates, etc.), but if there is any key function that'll fail without an internet connection, that's immediate disqualification, hard nope, not looking anymore. Period, full stop, even if it is "free" as in beer.
OTOH, if OP can deliver a true stand-alone system and guarantees that it will never require a connection for any core function (as above, optional ok), then he'll have a large market.
[0] any remote-via-internet control function should be able to directly access my IP, static or transient. Not only are non-static home IPs actually quite durable in my experience, there are a variety of easy solutions to keep track of the home IP. Yes, some of those are cloud services, but they are not tied to any hardware.
Edit: That said, I'm ok with requiring wiring beyond the normal thermostat-HVAC wiring.
If i want HomeAssistant integration, ill buy an HA-compatible thermostat.
I dont want an expensive HVAC system to be in a walled garden of its own.
Second of all, you aren't forced to use Kumo Cloud. Even though I have it, I still have a remote that operates the Split. No network or cloud required.
I'm a former diamond certified Mitsubishi installer
It has to translate a 2-stage signal into a fully modulating output, and it still seems to do a lot more on & off with high fan speeds than I would like or would be most efficient (as an aside, yes I have verified that the dip switches are in the correct position on the converters).
On the other hand, the unit at my in-laws tends to blow gently but consistently which is both more comfortable and more efficient.
If the app wasn't updated for ${latest phone OS}, would you be be unable to upgrade the phone OS?
If this company has a solution for variable-speed equipment, the best thing they can do is publish an open standard. Suppose the thermostat talks to the equipment over CAN bus, for instance, using a well-documented protocol. If they go out of business, anybody can hack together a compatible aftermarket thermostat.
A lot of solar equipment is already going this way, with batteries talking to inverters over open CAN bus protocols. As one of the biggest energy loads, the HVAC equipment should get in the game too.
https://www.pickhvac.com/thermostat/ (halfway down - "Communicating HVAC System")
https://www.pickhvac.com/central-air-conditioner/extras/comm... (deeper dive into Communicating vs Non-Communicating HVAC systems)
So basically, the premise of this product is that the proprietary system they design will be nicer than the proprietary systems HVAC manufacturer's design. That's probably true, but as an owner of a Carrier proprietary system, it's totally fine.
Only problem, their thermostats and apps really suck.
There are few off the shelf AC thermostats that work with most heatpumps: they are usually the on/off variety.
Remotes coming with heatpumps would do the right thing, though, and there are IR blasters that can replicate those signals and integrate into your home automation system.
Why? a real smart thermostat can just use the existing wiring for power and then use IP over Wifi or Matter/Thread to communicate. Way better than the crappy wiring in most people's houses for thermostat control.
Surely we could come up with a device that might require an electrician to run a few extra wires (or maybe even larger wires or something) and still run perfectly fine offline, for as long as the hardware functions, with some type of integrated manual controller. And of course this device could also have an internet option and an app and wifi for all of the fancy stuff.
Considering how unstable the residential electrical and internet grid is in the US (instead of being dug in, into the ground all the cables are hanging between the trees and there are constant failures), relying on that AND on the cloud for an essential service is a no-go.
* October 2011 Snow Storm - Lost power for 4 days, didn't end up being that cold
* October 2019 Thunderstorms - Lost power for 3 days, thankfully generator kept the house going
* August 2020 Tropical Storm Isaias - Caused widespread grid damage, but only lost power for 18 hours. Internet was out for 36 hours.
* August 2021 Hurricane Henri - Widespread grid damage, lost power for about 6 hours. By this point I had powerwalls. I didn't even turn down the air conditioner.
That's it - every other outage has been a few hours. And that's living in a rural area that is heavily wooded with most of the power lines above ground and often long runs close to trees. If I lived in a suburb or city those times would be even less.
The grid in the United States, despite some widespread and documented regional failures (2021 Texas, 2003 NE Blackout), is remarkably resilient.
I’ve experienced 4-5 outages last year, a couple were local, a couple were widespread. One lasted 2 days.
Fortunately I do have a small 3.2kWh battery backup power, so I can keep the refrigerator from defrosting. I do think that this is sufficient to power the air furnace as well, but I haven’t tried.
The residential internet outages also are pretty frequent, but we don’t notice these as much as power outages.