Our first prototype ran locally end-to-end. To make that work we used a Jetson TX2 ($600 computer), but the performance was abysmal. In a few years, it might be possible to do what we're doing locally and at a reasonable price.
I just think it's unfortunate that every player in the space has to ship their own hardware (and, obviously, force the user into a walled garden so that competitor's products are inconvenient to use.)
Give me (a power user) something I can run in a docker container locally, or on any of my local Macs or PCs.
Or, assume as a constraint that smart homes need to be able to run themselves. I would appreciate if everyone in the space made an effort at detente while the technology matured to a point where a massive privacy and security hole wasn't required in order to have the thing work at all.