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Smart Switches That Are Not So Smart

When smart technology fails, homeowners pay the price. Unethical Industry Practices.

NerdGuys Smart Systems™

1/17/20252 min read

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The purpose is consumer education not to harm the reputation of any individual or company :)

Smart home technology is supposed to make life easier. A homeowner should be able to control lighting, security, entertainment and climate systems more conveniently not wonder whether the company behind their light switches will still exist next year.

That is why the financial crisis involving Brilliant, a manufacturer of smart home controls and switches, should concern homeowners, builders and technology professionals.

Brilliant did not ultimately disappear, and its existing devices did not become unusable. However, the company’s near collapse demonstrated how quickly an expensive smart home investment can be placed at risk when essential features, software updates and customer support depend on the survival of a relatively small technology company.

In May 2024, Brilliant reportedly faced a serious financial crisis after failing to secure additional funding. The company laid off most of its employees, stopped selling products and closed customer support while searching for a buyer. This raised concerns for homeowners/business owners who had installed Brilliant controls throughout their properties because these devices were permanently wired into walls and used to manage lighting and other connected systems.

Fortunately, Brilliant kept its servers operating, and existing devices reportedly remained functional. The company was acquired by private investors in July 2024 and later relaunched as Brilliant NextGen.

Although customers avoided the worst outcome, the situation exposed the risks of relying on cloud connected technology for essential home functions. A traditional light switch works without an account, application, internet connection or external server. A smart switch may depend on manufacturer servers, software updates, account authentication, internet service and continued company support. Similar risks have affected other platforms. Insteon experienced a cloud service shutdown, Google discontinued the Revolv smart home hub and Best Buy ended support for Insignia Connect products.

Some customers lost important features or were left with devices that no longer performed as originally promised. Lighting should remain functional during an internet outage, server failure, application problem, company closure or change in ownership. Reliable smart home systems should provide physical controls, local operation, replaceable components and a clear recovery plan.

In our opinion, professional installers also have a responsibility to research products before recommending them. They should understand which features require the cloud, whether basic controls work offline, how stable the manufacturer is, whether replacement parts are available and what happens when support ends.

Applying pressure without explaining these risks is unethical salesmanship. Homeowners should ask whether lights can operate without an application, whether another company can service the system and what it would cost to return to conventional controls.

At NerdGuys Smart Systems™, we prioritize local control, reliability, compatibility and future serviceability. The smartest switch is not the one with the most impressive screen. It is the one that still turns on the lights when everything else fails.And yes, you heard that from someone who installs home automation systems and would be happy to earn your business. However, we believe there are ethical ways to grow a company. Our goal is not to sell customers the most expensive system possible. It is to recommend the right solution, provide honest advice and leave every customer confident and satisfied with their investment.

Disclaimer: This article reflects personal opinions and commentary based on publicly available information. It is not intended to disparage, defame or speak negatively about Brilliant, its employees, investors, installers or any other business or startup. Its purpose is to discuss broader concerns involving cloud dependent smart home technology, product research and long term consumer protection.