Control & Automation

Control4 Acquires Ihiji, Will Drop Recurring Fees for Remote Network Management

In acquiring Ihiji’s remote monitoring and management system, home automation leader Control4 will eliminate monthly fees for smart-home pros.

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8 Comments
Posted by Joseph Kolchinsky on January 3, 2018

We all should take our hats off for Stuart, Mike, and the Ihiji crew.  For about a decade they’ve pioneered a new concept in this industry rooted in operational efficiency and value-add services to the homeowner.  It’s hard for any of us in the CEDIA industry to say that we haven’t been positively affected by Ihiji and the category they created.  I’m excited to see what they all do next, particularly with Control4’s support.

What a great start to 2018!

Posted by Bruno Napoli on January 4, 2018

First thing first: Congratulations to ihiji. They certainly deserved like no others to be acquired after all this hard work they did for years now. Hope you the best. Good job guys, I’m proud of you.

This said, I liked your latest newsletter Julie, you made an important point about RMR. Giving the remote supervision service for free will give once again, another bad excuse to Custom Installers for not charging Service and Maintenance monthly or yearly. Remote supervision was one of the latest feature that was pushing custom installers to value their business, to value their labor, in short: “To become Home Technology Professional”.

Pakedge and Snap totally gave up long time ago to charge a monthly fee, but could afford it as it is not their only business and they make money on many other products. Now that ihiji is part of the C4 group, they will also follow this trend. Maybe the word is too big, so please excuse me in advance if it is not appropriate, but I feel like it’s a little “sabotage” for our industry to give remote supervision fees for free.

I can talk with a genuine experience here: Giving the remote supervision fee for free will NOT make custom installer buy remote supervision. Even if you give the hardware for free, custom installers will NOT install it and use it. It’s only because Custom Installers do not know how to charge yearly/monthly service & maintenance that they don’t know how to sell remote supervision. It simply does not fit into actual Custom Installer business model: What we charged for the installation is also good for years of free service, maintenance, warranty… Until we go out of business and let our clients alone…

Posted by mgrady on January 4, 2018

Joey for full disclosure you were an investor in ihiji, correct?

Posted by Joseph Kolchinsky on January 4, 2018

@mgrday, I was an investor and have been on their board for the past three years (and haven’t been shy about it - I’ve mentioned it many times in various articles and blog posts, etc).  With this acquisition I am completely disconnected from Ihiji (except that we still buy the product/services).

Was there something I said that have you concern for a conflict of interest?  Certainly not giving myself props - all credit due to Stuart, Mike, and the Ihiji crew!

Posted by mgrady on January 4, 2018

All good Joey. If I was an investor I wouldn’t be the first one to give props as it wouldn’t seem genuine.  Best of luck!

Posted by Joseph Kolchinsky on January 4, 2018

100% genuine.  No other bone in my body. smile

Posted by JW-TIH on January 6, 2018

Actually @mgrady, if I was an investor in ihiji, the second thing I’d do was give props everywhere possible.  Right after depositing that check… raspberry

Posted by Harald Steindl on January 8, 2018

I totally disagree with a lot of people out there thinking that nixing the montly fees is a good idea.
Where does the cashflow come from when C4 does not charge for their service of keeping the servers up and running?
Is there any change in the terms of service?
When C4 is NOT charging but the integrator chooses to do so, there is the potential of a huge legal problem.
By not taking any money C4 can hardly be forced to keep a service up or to fulfill a certain availability/SLA/etc.
On the other hand the integrator takes hard bucks from the enduser for a service he/she has no control over whatsoever. I would be very interested in how C4 is going to educate their dealers about this potential dilemma.
Besides this, congrats to Ihiji!

8 Comments
Posted by Harald Steindl on January 8, 2018

I totally disagree with a lot of people out there thinking that nixing the montly fees is a good idea.
Where does the cashflow come from when C4 does not charge for their service of keeping the servers up and running?
Is there any change in the terms of service?
When C4 is NOT charging but the integrator chooses to do so, there is the potential of a huge legal problem.
By not taking any money C4 can hardly be forced to keep a service up or to fulfill a certain availability/SLA/etc.
On the other hand the integrator takes hard bucks from the enduser for a service he/she has no control over whatsoever. I would be very interested in how C4 is going to educate their dealers about this potential dilemma.
Besides this, congrats to Ihiji!

Posted by JW-TIH on January 6, 2018

Actually @mgrady, if I was an investor in ihiji, the second thing I’d do was give props everywhere possible.  Right after depositing that check… raspberry

Posted by Joseph Kolchinsky on January 4, 2018

100% genuine.  No other bone in my body. smile

Posted by mgrady on January 4, 2018

All good Joey. If I was an investor I wouldn’t be the first one to give props as it wouldn’t seem genuine.  Best of luck!

Posted by Joseph Kolchinsky on January 4, 2018

@mgrday, I was an investor and have been on their board for the past three years (and haven’t been shy about it - I’ve mentioned it many times in various articles and blog posts, etc).  With this acquisition I am completely disconnected from Ihiji (except that we still buy the product/services).

Was there something I said that have you concern for a conflict of interest?  Certainly not giving myself props - all credit due to Stuart, Mike, and the Ihiji crew!

Posted by mgrady on January 4, 2018

Joey for full disclosure you were an investor in ihiji, correct?

Posted by Bruno Napoli on January 4, 2018

First thing first: Congratulations to ihiji. They certainly deserved like no others to be acquired after all this hard work they did for years now. Hope you the best. Good job guys, I’m proud of you.

This said, I liked your latest newsletter Julie, you made an important point about RMR. Giving the remote supervision service for free will give once again, another bad excuse to Custom Installers for not charging Service and Maintenance monthly or yearly. Remote supervision was one of the latest feature that was pushing custom installers to value their business, to value their labor, in short: “To become Home Technology Professional”.

Pakedge and Snap totally gave up long time ago to charge a monthly fee, but could afford it as it is not their only business and they make money on many other products. Now that ihiji is part of the C4 group, they will also follow this trend. Maybe the word is too big, so please excuse me in advance if it is not appropriate, but I feel like it’s a little “sabotage” for our industry to give remote supervision fees for free.

I can talk with a genuine experience here: Giving the remote supervision fee for free will NOT make custom installer buy remote supervision. Even if you give the hardware for free, custom installers will NOT install it and use it. It’s only because Custom Installers do not know how to charge yearly/monthly service & maintenance that they don’t know how to sell remote supervision. It simply does not fit into actual Custom Installer business model: What we charged for the installation is also good for years of free service, maintenance, warranty… Until we go out of business and let our clients alone…

Posted by Joseph Kolchinsky on January 3, 2018

We all should take our hats off for Stuart, Mike, and the Ihiji crew.  For about a decade they’ve pioneered a new concept in this industry rooted in operational efficiency and value-add services to the homeowner.  It’s hard for any of us in the CEDIA industry to say that we haven’t been positively affected by Ihiji and the category they created.  I’m excited to see what they all do next, particularly with Control4’s support.

What a great start to 2018!


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