I think the home automation market is waiting on things that most people really want and a lower barrier to entry.
Alfred North Whitehead famously noted that "Civilization advances by extending the number of important operations which we can perform without thinking about them."
What has household automation really given us so far?
Dimmable lights? Whatever. If I cared, I'd already have rheostats on all my light switches.
Thermostat? My digital thermostat is already good enough.
The thing that would sell like crazy is a robot valet.
In other words, the ability to navigate carelessly through your home, dropping items when you are no longer interested in them and have them "magically" return to their proper homes.
Such a thing would need to be able to roam around your home and pick things up and store them, and then retrieve them when appropriate (when asked or based on schedules and other automations). Maybe even do a little light dusting.
If you can make it take out the trash, fold laundry, and empty the dishwasher, you're looking at a ridiculously popular system. Even if it costs thousands of dollars.
Thing is, the tech isn't really ready to give us a household robot that can pick your jacket up off the couch and put it away. When we can do that, it will be huge.
Once we are there, we've grown so used to the idea of an adversarial relationship with the businesses that provide our services, that we are being spied on and our data sold, would we even trust the systems that would be needed to enable such products?