Seriously, color changing? Dimming? Make a simple natural light bulb, a smartphone app and a wifi wall switch. Latter is far far more important than an ability to drown my kitchen in a shade of green. Keep it useful, damn it. Not a single home automation company gets this. Usability is a key to adoption.
I think the part of the video that really demonstrated where money will be made was when he spent 5 seconds saying "Lifx has commercial applications as well." Now there I can see all these features being useful. (But I suppose tailoring a Kickstarter video towards restaurant/club/bar owners wouldn't net as much capital. :P)
In any case this product, while cool, reminds me a little of what Steve Blank calls a "novelty" effect (I was at SM with Steve at the time of that product).
http://steveblank.com/2009/05/11/supermac-war-story-x-the-vi...