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From Connected to Intelligent

July 21, 2026

How AI Is Transforming the Smart Home

The smart home is entering a new era. For years, consumers have embraced connected devices that could automate basic tasks such as adjusting the thermostat, turning on lights or monitoring a front door camera. Today, artificial intelligence is taking those capabilities much further, creating homes that can learn preferences, anticipate needs and simplify everyday life.

That shift is arriving just as consumer interest in smart home technology continues to accelerate. According to CTA's 2026 U.S. Consumer Technology Ownership & Market Potential Study, smart home products are among the fastest-growing technology categories, with four of the five fastest-growing products falling within the smart home segment. Popular products include smart thermostats, smart lighting, smart plugs, air purifiers, wireless smart speakers, smart displays, robotic vacuums and robotic lawn care devices.

For consumers, the appeal is increasingly about convenience and practical value rather than novelty. CTA's research found that features delivering labor savings, efficiency and improved day-to-day living are driving adoption of emerging technologies.

AI Becomes the Smart Home Operating System

The next stage of smart home evolution is moving beyond app-based control toward natural, conversational interactions.

One example is SAVI iQ's AI-enabled smart home platform, which allows homeowners to communicate with their home using natural language. Rather than navigating multiple apps or complex programming menus, users can ask the system to configure devices, troubleshoot issues or modify settings through simple conversation. SAVI says its platform can simplify installation, automation and ongoing management while providing AI-driven support.

AI is increasingly serving as the intelligence layer that connects devices, interprets user intent and automates actions across the entire home ecosystem.

Personalized Living Through AI Assistants

At CES® 2026, smart home innovation showcased how AI assistants are becoming more proactive and personalized.

Tuya's AI Life Assistant, "Hey Tuya," demonstrated an approach that goes beyond voice commands. The platform uses AI to learn user habits and preferences, helping manage smart devices, home security, energy consumption and daily routines. According to Tuya, the assistant can transition from simply responding to commands to proactively offering services and recommendations based on user behavior.

Imagine a home that automatically adjusts lighting and temperature before you arrive, provides a personalized morning briefing, manages energy usage during peak utility hours or reminds you to lock doors and activate security systems. These are the kinds of experiences AI platforms are beginning to enable.

As AI becomes more context-aware, the smart home is evolving from a collection of connected products into an intelligent environment that adapts to residents' lifestyles.

Artificial intelligence is also redefining traditional household appliances.

At CES, LG Electronics highlighted a growing portfolio of AI-powered home appliances designed to improve performance, efficiency and convenience. AI-enabled refrigerators can monitor usage patterns and optimize cooling performance, while internal cameras help identify ingredients and suggest recipes. AI-powered ovens can recognize more than 80 dishes and automatically adjust cooking settings. Connected washers and dryers exchange information to optimize laundry cycles based on load characteristics and fabric type.

These innovations demonstrate how AI is enhancing practical household functions. Instead of requiring users to manually select settings, appliances increasingly make intelligent recommendations and adjustments on their own.

The result is a more seamless experience that saves time, reduces energy consumption and helps consumers get better results from the products they use every day.

The Future of the AI Home

The smart home market's momentum suggests consumers are ready for this next phase of innovation. As device adoption grows and AI capabilities mature, homes are becoming more responsive, personalized and efficient.

For the industry, the opportunity extends beyond connecting devices. The future lies in creating ecosystems where AI can coordinate products, understand context and deliver meaningful value across the entire household.

From perceptive appliances to conversational home assistants, one thing is clear: the smart home is no longer just connected. It's becoming intelligent.

And as showcased by innovators across CTA's membership and the CES stage, AI is rapidly becoming the technology that brings the entire smart home experience together.

This article is part of our Digital Times® series, the stories behind the technologies shaping our world.

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