Privacy At Risk? The Truth About Using Smart Home Devices

From lightbulbs to speakers to security systems, homeowners can opt for smart versions of nearly every home electronic. If you're looking to sell soon, adding smart features to your home can increase resale value, but some people have reservations about these devices. From the threat of hackers to companies' data-sharing practices, consumers are balancing convenience with concerns about security and privacy. Being judicious about which devices add value to your daily life, and which ones make safeguarding your privacy easy, is key to walking the line between creating a modern, automated home and staying secure. Additionally, using a hub to control those devices locally instead of in the cloud can help homeowners take back control of their data.

For many people, privacy is a top concern when considering smart home purchases. Those worries are not without cause. There are many ways a smart home device can be hacked, though some are far more likely than others. While some fears about hacking seem to be unfounded, such as burglars going to the effort of hacking a smart lock, the more mundane risks are real. Acquainting yourself with the potential risks will allow you to make an educated decision before you buy that next new device.

Deloitte's Connected Consumer Survey 2023 found that 77% of smart home device owners say the technology improves "their overall quality of life," but researchers also found these devices may be subjected to thousands of hacking attempts in a given week. It's not just personal information at stake. Some devices gather data about your behavior, which may be shared with third parties. What data is at stake depends on the device. For example, consumers may want to heed a warning about smart home toilets that could expose sensitive health data, while your coffee machine app may track your internet and buying habits.

When it comes to hacking concerns, there are a couple of groups to be most worried about: people you know and data thieves. Whether you've got a nosy mom or a disgruntled ex, people you know hacking into systems to spy on you is a concern. Alternatively, bots and data thieves from around the globe looking to find personal information to sell are also a real threat.

Setting bad actors aside, there are also concerns about the information devices disclose with consumer permission. Behavioral and location data, along with unique identifiers, may be available to third parties that smart device owners have little or no control over once they agree to a device's terms of service. A Surfshark study found that Amazon and Google devices gather the most user data, likely using it mostly to serve targeted ads or resell.

So, how do you balance the convenience that smart home features bring to your life with the desire for privacy? Start by investigating the devices you're considering buying. Tools like Mozilla's *Privacy Not Included give potential buyers an easy way to understand what data different devices are collecting and how they are using it. Look for companies that use end-to-end encryption for your data. And before you go to the store to buy the latest gadget, ask yourself whether you really need it. You might be fine with a security system tracking your movement and storing video because the trade-off is safety, but the downsides of a smart thermostat, which collects data about when you are and are not home, may not be worth the risk. It's all about your priorities.

If you already have a house full of smart devices, there are steps you can take to keep them safe. Some of these steps are similar to ones you use to secure any information on the web: Use secure passwords and two-factor authentication. Updating your devices, firmware, and even your Wi-Fi router can also help keep your information safe.

Some devices will let you store your data locally, but you can also set up a local hub to take this one step further. While not foolproof, hubs are designed to let you get rid of the individual apps on your smartphone that control your devices, preventing your data from being shared.