Why LG’s acquisition of Homey is a defining moment in the battle between user sovereignty and data-driven services
The acquisition of Athom, creator of the celebrated Homey Pro hub, by appliance titan LG Electronics in July 2024 was a seismic event for the smart home industry (ZDNET, 2024). For the discerning user who prioritizes local control and data privacy, this deal represents a potential watershed moment. It forces a critical question that extends beyond the fate of a single platform: What does this signal about the future of the smart home itself?
Understanding the implications of this acquisition requires looking to the past, as this is not uncharted territory. The most telling precedent is Samsung’s 2014 purchase of SmartThings, an acquisition that still haunts many early adopters. A close examination of that case provides a clear framework for forecasting the probable trajectory of Homey under its new corporate ownership.
The Allure of a Sovereign Contender
Homey Pro’s revered market position stemmed from its core differentiator: a steadfast commitment to local control in an industry dominated by the cloud ecosystems of Amazon and Google. Its “Local First” architecture was a technical declaration of user sovereignty, designed so that all automations and data processing took place within the home. This principle was backed by an unparalleled array of hardware, including radios for every major protocol. Ultimately, Homey Pro was tangible proof that a powerful smart home and user privacy were not mutually exclusive concepts (Homey, 2025).
The Ghost of SmartThings: A Cautionary Tale
The apprehension rippling through the Homey community is rooted in the well-documented history of SmartThings. Following its acquisition by Samsung in 2014, similar assurances of independence were made (Samsung Newsroom, 2014). But over time, a predictable strategic shift occurred. The platform’s focus pivoted from open customization to the seamless integration of Samsung’s hardware portfolio. Technical decisions, such as the deprecation of the Groovy IDE, alienated the core early-adopter community and signaled a deliberate move towards a more controlled, mass-market ecosystem (Stacey, 2021).
The SmartThings story serves as a powerful case study for the inevitable consequences of such an acquisition. When a nimble, community-focused startup is absorbed by a hardware giant, its strategic priorities are forced to realign. The focus inevitably shifts from serving a niche of power users to supporting a mass-market audience, with the ultimate goal of leveraging the platform to drive sales of the parent company’s core products.
LG’s Playbook: A Pivot to Data and Services
LG’s motivation for acquiring Homey becomes transparent when viewed through the lens of its corporate strategy. The company’s ambition is to evolve from a hardware manufacturer into a “Smart Life Solution Company” (LG Newsroom, 2023). This business model, based on generating recurring revenue from services, has one non-negotiable prerequisite: a deep, granular understanding of consumer behavior.
LG’s press release candidly reveals the strategic imperative behind the acquisition: the need to “gain deeper insights into customers’ lifestyle and usage patterns” (ZDNET, 2024). This goal was unattainable with its ThinQ platform, a “walled garden” that was blind to the rich ecosystem of third-party devices that truly define a modern smart home.
Rather than attempt to build a bridge to that world, LG executed a masterful shortcut: it bought the entire landscape. The Homey acquisition provides the critical conduit for the data needed to fuel its “AI Home” ambitions. Ultimately, LG didn’t just purchase a hub; it purchased the viability of its entire service-based future.
What Does This Mean for the Homey Pro User?
The future for existing Homey users is now a landscape of both opportunity and uncertainty.
The Optimist’s View: With LG’s immense resources, Homey could see accelerated development, more robust hardware, and a level of polish that was previously out of reach. The first synergistic product, the LG ThinQ ON AI Home Hub, was announced with remarkable speed, suggesting a commitment to innovation (LG Newsroom, 2024). Furthermore, the promise to operate Homey as an “independent subsidiary” with its founders at the helm is designed to reassure users that the platform’s core ethos will remain intact (CEPRO, 2024).
The Realist’s View: A realist, however, would argue that the core conflict between business models is irreconcilable. A “privacy-first” ethos cannot coexist with a strategy of data monetization. The heartfelt promises of founders like Emile Nijssen are ultimately outweighed by the corporate reality of LG’s 80% controlling stake (Homey Community Forum, 2024). History, particularly the “SmartThings precedent,” shows that a parent company’s strategic imperatives will eventually supersede a subsidiary’s original mission. The most probable outcome is a gradual shift: a greater emphasis on integrating LG appliances and a subtle steering of the platform to benefit the parent company’s ecosystem.
The Escape Hatch: Alternatives for the Sovereign User
- For Homey users considering a change, several powerful, privacy-focused alternatives have matured.
- Home Assistant: This platform is the undisputed leader in the open-source smart home space, offering unmatched flexibility thanks to a massive global community of developers. Its primary trade-off is a steeper learning curve compared to commercial hubs. In exchange for this initial investment of time, the user gains absolute and permanent control over their data and hardware. As a community-driven project, its interests are structurally aligned with those of its users.
- Hubitat Elevation: For users who prefer a dedicated hardware solution similar to Homey Pro, Hubitat Elevation is the most direct competitor. It shares the same “local-first” philosophy, handling all core functions—including its powerful “Rule Machine” automation engine—on the device itself. Its primary value proposition is offering a high degree of local control and broad device compatibility in a commercial, pre-packaged product.
A Defining Moment
Ultimately, the LG-Homey acquisition serves as a moment of stark clarification. It forces us all to confront a fundamental question about what we want our homes to be. Are they a service we subscribe to, where our daily lives become the product? Or are they our private sanctuaries, an extension of our domain where we retain ultimate control? This single event has brought the two competing futures for the smart home into sharp relief.
When a company’s business model shifts from products to “solutions,” the user’s role is often recast from owner to data source. This reality demands a deliberate consumer response. Consequently, platforms like the open-source Home Assistant or the local-first Hubitat are no longer mere alternatives; they are a necessary counterpoint to the dominant industry narrative. The choice to support such platforms is a direct investment in a future defined by user empowerment, not corporate data extraction.
Cited Works
CEPRO. (2024). LG Just Bought Controlling Stake in Athom’s Smart Home Platform Homey. Retrieved September 18, 2025, from https://www.cepro.com/news/lg-acquires-majority-stake-in-athom-maker-of-homey-smart-home-hub/139269/
Homey. (2025). Homey Pro. Retrieved September 18, 2025, from https://homey.app/en-us/homey-pro/
Homey Community Forum. (2024). LG acquires Athom. Retrieved September 18, 2025, from https://community.homey.app/t/lg-acquires-athom/112310
LG Newsroom. (2023). Key Elements of LG’s Bold Vision to Transform LG Into ‘Smart Life Solutions Company’. Retrieved September 18, 2025, from https://www.lgcorp.com/media/release/26506
LG Newsroom. (2024). LG Opens New Chapter in Connected Home Living With “ThinQ ON AI Home Hub” at IFA 2024. Retrieved September 18, 2025, from https://www.lgnewsroom.com/2024/08/lg-opens-new-chapter-in-connected-home-living-with-thinq-on-ai-home-hub-at-ifa-2024/
Samsung Newsroom. (2014). Samsung to Acquire SmartThings, Leading Open Platform for the Internet of Things. Retrieved September 18, 2025, from https://news.samsung.com/global/samsung-to-acquire-smartthings-leading-open-platform-for-the-internet-of-things
Stacey on IoT. (2021). SmartThings will kill legacy features to make a smarter home. Retrieved September 20, 2025, from https://staceyoniot.com/smartthings-will-kill-legacy-features-to-make-a-smarter-home/
ZDNET. (2024). LG acquires Dutch smart home firm Athom to beef up its AI home business. Retrieved September 18, 2025, from https://www.zdnet.com/home-and-office/home-entertainment/lg-acquires-dutch-smart-home-firm-athom-to-beef-up-ai-home-business/