Does that mean they're abandoning zigbee and not adopting Matter/Thread?
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They’ve already adopted matter.
LIDL is selling a bunch of "smart" crap this week including a "smart" kettle. According to the blurb "Can be linked to the Lidl Smart Home System using your WiFi connection". And I'm thinking yeah and what possible reason ever would I have for needing that? And the same is true for most smart products.
Actually, having hot water for tea or coffee ready when you wake up is one of the few really good use cases.
First 'public' webcam stream was of a coffeepot to see if it was full or not, so more folks agree with that. How about making a cup in bed and then walking towards a fresh cup, it's as if you had a very specific morning butler. I'm aware this is not a need (and I don't have or need it), but it's desirable for sure.