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Home Energy Rebates and Demand Response Programs in the US and China

As home energy management and smart grids evolve, both the United States and China are rolling out subsidies and demand response incentives for residential users. Smart plugs, energy monitoring devices, and home energy management systems are becoming gateways to accessing these programs.

United States: California Leads Solar-Storage-EV Incentives

According to Yahoo Finance (Aug 2026), Pacific Gas and Electric (PG&E) partnered with dcbel to launch the California Connected Home Rebate program. Combining federal and state incentives, California homeowners installing solar + storage + bidirectional EV charging systems can receive up to $18,300 in rebates.

The Los Angeles Department of Water and Power (LADWP) 2026 Power Savers demand response program (June 1 – October 31) offers residents up to $145 in rewards for reducing electricity use during peak heat periods.

China: Multiple Provinces Advance Residential Demand Response

According to the Sichuan Provincial Development and Reform Commission (Jun 2026), Sichuan Province officially launched its 2026 Market-Based Demand-Side Response Implementation Plan, encouraging residential participation in power demand response. Anhui Province’s 2025 plan also pioneered residential participation with compensation.

In Beijing, according to the Beijing Municipal Government (Jun 2025), smart home products such as smart toilets and smart locks receive a 15% purchase-price subsidy, with an additional 5% for Tier-1 energy-efficiency rated products, capped at RMB 2,000 per item.

How Demand Response Works and Participation Requirements

The core mechanism of demand response programs is straightforward: during peak electricity demand periods, the grid sends reduction signals to participating users, who earn financial compensation by reducing or shifting their electricity consumption. These programs typically require smart meters or smart plugs as data collection and execution endpoints, meaning smart home devices serve not only as consumer products but potentially as infrastructure for accessing incentives.

It is important to note that eligibility criteria, coverage scope, and program schedules vary significantly across jurisdictions. For example, LADWP’s Power Savers program operates only from June through October each year, while California’s solar-storage-EV rebate involves layered federal and state incentives with a relatively complex application process. Before deciding to participate, consumers should carefully review official documentation from their local utility or government agency to confirm eligibility.

Huawei Home Energy Management Example

As noted in the fact card, Huawei has launched a home energy management assistant that uses AI scheduling algorithms combined with dynamic electricity pricing to optimize solar-storage-charging strategies. This example reflects an industry trend: home energy management is evolving from manual control toward intelligent automated scheduling, with AI algorithms playing an increasingly central role.

What This Means for Consumers

These policies demonstrate that smart home devices offer value beyond convenience—they can generate direct financial returns. Installing smart plugs and energy monitors can help households participate in demand response programs for rewards; choosing high-efficiency smart appliances may qualify for purchase subsidies. Our smart appliance category includes 30 products; please refer to individual product pages for specific energy-efficiency details.

For our return guarantee, see the Refund and Return Policy. For shipping terms, see our Shipping Policy.

Information current as of September 2026. Please refer to official sources for the latest updates.

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Smart Home Market Size: Why the Estimates Differ So Much

When consumers search for “smart home market size,” they often encounter strikingly different figures. This is not because any single source is wrong, but because research firms use materially different methodologies. This article draws on publicly available data from multiple firms to help readers understand where these discrepancies come from.

Device Shipments: IDC’s Baseline

According to IDC’s Worldwide Quarterly Smart Home Device Tracker (Q4 2024), global smart home device shipments reached approximately 892.3 million units in 2024, growing just 0.6% year-over-year. Growth is expected to recover to 931.1 million units in 2025 (+4.4%), with a 2024–2028 CAGR of 5.6%, reaching 1.1 billion units by 2028. IDC tracks physical device shipments—a relatively standardized and cross-verifiable metric.

Revenue Estimates: Four Firms, Four Numbers

The divergence widens considerably when measuring market revenue:

Firm Estimate Notes
Statista ~$159.5B (2026) Focuses on consumer retail revenue
Global Market Insights $172B (2025); $186.3B (2026) Includes some B2B and service revenue
Fortune Business Insights $147.5B (2025) More conservative device-sales scope
MarketsandMarkets $230.8B (2026) Includes services, solutions, and B2B

All estimates above were published during the 2026 update cycle. The core reasons for divergence include: whether installation and maintenance services are counted, whether commercial (B2B) deployments are included, whether software subscriptions and cloud platform fees are factored in, and how broadly “smart home” is defined. For example, MarketsandMarkets uses a wide scope that encompasses enterprise IoT solutions, while Statista focuses more narrowly on consumer retail.

Regional Reference

Global Market Insights estimates the North American smart home market at approximately $56.2 billion in 2025, making it one of the largest single-region markets globally.

What This Means for Consumers

Regardless of which dataset is used, the consistent trend is continued growth at a slowing pace. This signals an industry shifting from expansion to optimization—ecosystem compatibility, long-term user experience, and after-sales service are gaining importance. Our catalog covers smart locks, speakers, security, lighting, sensors, networking devices, and more. Please refer to individual product pages for specific details.

To learn how we protect consumer rights, see our Refund and Return Policy.

Information current as of September 2026. Please refer to official sources for the latest updates.

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Thread 1.4 Is Now the Only Certified Version, but Platform Support Lags Thread 1.4

Thread 1.4 was released in September 2024 and has been the sole version accepted for certification by the Thread Group since January 2026. Its core improvement is a cross-vendor credential sharing mechanism that allows border routers from different brands to join the same mesh network, theoretically eliminating the problem of devices operating in isolated sub-networks. For smart home devices that rely on low-power wireless mesh networking, the progress toward Thread unification directly affects the practical usability of multi-brand systems.

Standard Is Ready, but Platform Adoption Lags

However, the publication of the standard does not mean all platforms have upgraded simultaneously. According to The Verge, reporting on September 2, 2026, Apple only added Thread 1.4 support in the tvOS 26 beta, while Amazon and Google platforms remain on Thread 1.3. This means that even if consumers purchase Thread 1.4-certified devices, they may still be unable to achieve a unified cross-platform mesh network in practice.

The Verge’s report cites tvOS 26 beta code as evidence, lending high credibility to this finding. The current situation indicates that while the unified vision of Thread 1.4 is technically ready, commercial platform implementation still depends on software updates from each vendor. For consumers, this means that the “Thread certified” label alone does not guarantee actual cross-brand interoperability; the firmware version of the platform being used must also be considered.

How Consumers Should Evaluate

For users planning to build a multi-brand smart home system, consider the following:

  • Verify whether your primary control platform (such as Apple HomePod, Amazon Echo, or Google Nest Hub) has been updated to a firmware version supporting Thread 1.4. Platform firmware updates are typically delivered automatically, but some older devices may not be eligible.
  • When selecting Thread devices, prioritize products explicitly labeled as Thread 1.4 certified to ensure seamless integration once platforms upgrade. Even if the current platform does not yet support the standard, certified devices are more likely to gain full functionality through future updates.
  • Understand that during the current transition period, multi-brand Thread devices may still operate in separate sub-networks. This does not affect normal use within a single brand, but cross-brand coordination may be limited. If cross-brand interoperability is a core requirement, consider waiting until platform support is confirmed before large-scale deployment.

Our networking category (25 products) includes devices with various network protocols. Specific protocol versions and compatibility details should be verified on the product detail page. For delivery information, please see our Shipping Policy.

Information current as of September 2026. Please refer to official sources for the latest updates.

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Matter 1.6 Released: What Changes for Cross-Brand Setup Matter 1.6

On June 17, 2026, the Connectivity Standards Alliance (CSA) officially released the Matter 1.6 specification. This update follows Matter 1.5, which was published in November 2025, and aims to further streamline cross-brand interoperability for smart home devices. For consumers who are building or expanding a smart home system, understanding the differences between Matter versions can inform better purchasing decisions.

Three Key Updates in Matter 1.6

According to the official CSA announcement, Matter 1.6 introduces the following features:

  • NFC-based end-to-end commissioning: Users can tap their phone against a device to complete network setup, reducing manual steps and simplifying cross-brand pairing. Previously, different brands required distinct setup flows, often forcing users to switch between multiple apps. NFC commissioning aims to unify this experience.
  • Joint Fabric: Devices from different ecosystems can now operate within a unified network rather than remaining isolated in separate control domains. This means users no longer need to maintain separate control logic for each brand, and multi-brand devices can participate in the same automation scenes.
  • Thermostat smart suggestions: Context-aware automation recommendations for thermostat devices, enabling a more intelligent balance between energy savings and comfort. This mechanism dynamically adjusts climate strategies based on environmental conditions and user habits rather than relying on fixed schedules.

Matter 1.5 Security Category Support

It is worth noting that Matter 1.5 was the first version to formally support cameras and video door locks. Only devices certified to Matter 1.5 or above can achieve cross-platform interoperability for security products. If a consumer’s primary need is cross-brand security system integration, confirming that a device supports at least Matter 1.5 is essential.

What This Means for Consumers

For consumers selecting smart home devices, the Matter version number directly affects the user experience. If you already own devices from multiple brands, choosing Matter 1.6-compatible products can save significant setup and troubleshooting time. However, the practical availability of Joint Fabric functionality also depends on how quickly platform vendors adopt the update. Consumers should verify whether their primary control platform supports the relevant Matter version before making a purchase.

Our smart locks category (30 products) and smart security category (30 products) include devices with various connectivity protocols. Whether a specific product supports Matter and which version it complies with should be verified on the product detail page. For our return policy, please refer to the Refund and Return Policy.

Information current as of September 2026. Please refer to official sources for the latest updates.

参考来源 / Sources