Copeland Study Warns: U.S. Homeowners’ Trust in Smart Home Data Practices Has Reached a Critical Low

Americans express deepening concerns over data collection, transparency and surveillance in third “Smart Home Data Privacy” study of 2,000 U.S. homeowners

ST. LOUIS (Jan. 28, 2026) – Copeland, a global leader in compression technologies and controls solutions, today released the results of its 2026 Smart Home Data Privacy Study, revealing that growing interest in energy saving tools is intersecting with increasing consumer concern over how manufacturers collect and use personal data in connected homes.  The report comes at a time when U.S. energy costs continue to outpace inflation – up 5% in the past year and nearly 30% since 2021, according to the Consumer Price Index – driving more homeowners to adopt smart technologies to help reduce energy consumption and manage monthly bills.

Now in its third iteration, the study shows that while smart home ownership remains steady, trust in manufacturers’ data practices is moving in the opposite direction, creating a widening gap that could slow the broader transition to connected, energy saving technologies. This tension is creating a pivotal moment for the smart home technology industry as consumers weigh efficiency gains against uncertainty over privacy.

“Even as homeowners continue to adopt smart technology and, in fact, feel comfortable with smart tech overall, their expectations around privacy continue to rise,” said Brendan O'Toole vice president, smart home and energy management for Copeland. “This year’s findings underscore a clear reality: people are no longer willing to trade personal data for convenience. Privacy is now a deciding factor in adoption and companies must treat trust as a core feature, not an afterthought.”

Growing Reliance on Smart Tech Meets Growing Skepticism
The 2026 study found that privacy and security continue to dominate consumer concerns:

  • Worries about data privacy among smart thermostat owners reflect growing unease about how manufacturers may share or use personal data, with concern increasing from 26% in 2022 to 37% in 2026.
  • Data protection remains a top concern, with fears of hacking, unauthorized access or surveillance increasing across segments. Concern about data protection rose from 26% in 2022 to 29% in 2026, and surveillance concerns climbed from 16% to 19% among all homeowners between 2022 and 2026.
  • Most homeowners still do not know how manufacturers use smart thermostat data, with 55% of respondents in 2026 reporting they have little to no understanding of how their data is used, underscoring a persistent transparency gap.

Privacy as a Barrier—and an Opportunity
The 2026 Sensi Data Privacy Study reinforces a trend identified over the past three years: privacy is now a primary decision factor for consumers evaluating smart home purchases, with increased consumer demand for privacy first innovation.

  • Homeowners who avoid purchasing smart thermostats cite lack of trust in data practices as a leading reason. Among non owners, only 58% are confident manufacturers use customer data responsibly, versus 73% of smart thermostat owners (2024). That trust gap suggests a key barrier to adoption among prospective buyers.
  • Among homeowners, research into privacy policies remains low, suggesting many consumers feel they lack clear or accessible information. Just 13% of owners in 2022 reported researching a manufacturer’s data privacy policy before buying a smart thermostat; that fell to 8% in 2026, indicating consumers still lack clear, accessible privacy information at the point of purchase.
  • A growing share of homeowners say they would replace their existing device if a more secure, privacy-first option became available. In fact, 7 in 10 homeowners (70%) say they would replace their thermostat for a more privacy focused option, signaling strong demand for devices that pair energy savings with stronger data protections.

“Consumers are telling manufacturers exactly what they need, which is simplicity, transparency and control,” said O'Toole. “The companies that step up will define the future of smart home technology.”

Copeland’s Leadership in Privacy and Energy Efficiency
Copeland was one of the first manufacturers to create a data privacy pledge as part of its broader commitment to sustainable, energy-efficient solutions and has since led the way in protecting its users’ personal data, never selling smart thermostat activity or a users’ personal data.* This commitment helps homeowners confidently embrace energy efficient solutions while maintaining efficient solutions while maintaining strict control over their personal information.

“Protecting homeowner data isn’t just a matter of trust - it’s a matter of sustainability,” said O’Toole. “As more households adopt smart technology to cut energy use and shrink their environmental footprint, manufacturers must ensure that these solutions are built on responsible, transparent and ethical data practices. Sensi’s smart thermostats directly address a critical need for both energy efficiency and data privacy, empowering consumers with both energy efficient tools and clear ownership of their data. This is essential to building a more sustainable, resilient future for everyone.”

For more information about how Copeland’s lineup of Sensi smart thermostats respects and protects consumer privacy and to download the full report, visit sensi.copeland.com/dataprivacy.

*Please note third party program terms, such as a utility or controller, are exclusively between you and the 3rd party and may include additional data collection; these add-on services are optional and not required.