As energy costs rise and demand on the electric grid increases, the smart home industry faces an important question: Can a home truly be smart if it doesn't manage energy?
On October 29, Parks Associates hosted the Smart Energy Summit virtual roundtable, “Is a Smart Home Really Smart Without Energy Management?” sponsored by Carrier. The discussion brought together executives from AWS, Carrier Energy, and Duke Energy to examine how intelligent energy management can lower costs, improve comfort, and turn connected homes into valuable grid resources.
Moderated by Daniel Holcomb, Senior Analyst of Smart Home Research at Parks Associates, the session explored opportunities to move beyond individual smart devices toward integrated, automated home energy management systems.
Smart Thermostat Adoption Highlights an Opportunity
Parks Associates research finds that only 17% of US internet households own a smart thermostat, a figure that has remained relatively stagnant in recent years.
While smart thermostats are an important starting point, panelists agreed that the next phase of innovation will require a more comprehensive approach that connects HVAC systems, battery storage, electric vehicles, and other major energy-consuming devices.
The discussion highlighted several emerging opportunities:
- AI-powered energy management: Using artificial intelligence to automatically coordinate connected devices based on energy pricing, weather, occupancy, and household preferences.
- HVAC and battery storage: Transforming heating and cooling systems into intelligent energy assets that support consumer comfort while reducing peak demand.
- Utility demand response programs: Creating easier enrollment experiences and stronger incentives to encourage consumer participation.
- Interoperability: Connecting devices and platforms to simplify energy management and deliver greater value to consumers.
Making the Smart Home an Asset to the Grid
One of the discussion's central themes was the growing opportunity for utilities to leverage connected home technologies to manage energy demand. Duke Energy shared that about one million customers participate in its customer power plant, and the utility distributed more than $62 million in customer incentives last year. Carrier Energy highlighted innovations that pair HVAC systems with battery storage to shift energy consumption away from peak-demand periods without sacrificing homeowner comfort. AWS discussed its vision for the sentient home, where AI works behind the scenes to coordinate devices, anticipate household needs, and automatically optimize energy consumption.
Across the discussion, panelists emphasized that consumers want outcomes, not additional complexity. Lower energy bills, reliable comfort, and simple automated experiences will be essential to accelerating adoption.
What is Next for Home Energy Management?
When asked which technology would have the greatest impact on consumer energy management over the next five years, 57% of webinar poll respondents selected battery storage. The results point to growing industry interest in solutions that extend beyond traditional smart thermostats and enable more intelligent coordination between homes and the electric grid.
The conversation also reinforced the importance of collaboration among utilities, device manufacturers, technology platforms, and service providers to make energy management accessible, affordable, and easy to use. The future of the smart home is not simply about connecting more devices. It's about making those devices work together to deliver measurable value for consumers and the grid.
Watch the Webinar on Demand
How can smart home technologies help utilities reduce peak demand while improving customer experiences? What role will AI, HVAC, and battery storage play in the next generation of connected homes? Download now.
