TechCrunch reported on October 19 that people are using AI tools to strip smart features from their televisions, turning connected displays back into plain screens. The behaviour is small in volume but large in signal: it is a shopper deciding that the software layer bundled with a device is worth less than the friction it creates. For e-commerce teams, that is a direct challenge to the assumption that connectivity always raises perceived value, and it has implications for how device bundles, subscriptions and post-purchase support are priced and merchandised.
Key Conclusions
The first conclusion is that bundled software has become a negative for a measurable share of buyers. When a shopper removes smart features, they are giving up content recommendations and voice control to avoid ads, updates and account requirements. That trade implies the bundle is being valued at less than zero, which contradicts the standard assumption behind connected-device pricing.
The second conclusion is that this is a post-purchase problem more than a purchase problem. Reviews and returns are where the frustration surfaces, and both sit inside the e-commerce funnel that brands control. A device that generates a "how do I disable this" search within a week of delivery is a device that will produce weak review scores and a higher support load, regardless of how well it sold.
Why the Bundle Lost Its Value
Connected devices were priced on the premise that services would subsidise hardware and that data would improve the product. In practice, three costs landed on the shopper: attention in the form of ads on the home screen, time in the form of updates and account setup, and privacy in the form of viewing data collection. When those costs exceed the benefit of the bundled services, removing the software becomes rational.
The Subscription Fatigue Effect
Subscription fatigue is the accelerant. A television that requires three separate subscriptions to be useful is competing against a screen that requires none, and the price gap between the two is often smaller than the annual cost of the services. Once shoppers do that arithmetic, the connected premium looks like a recurring liability rather than a feature.
Reviews as the Feedback Channel
Review text is where this behaviour becomes visible to retailers. Complaints about forced updates, sign-in prompts and ad placement tend to cluster in the first thirty days after delivery, which is also when return windows are open. That clustering makes review monitoring a leading indicator for return risk, not just a reputation metric.
Best Practices
The practical response is to merchandise the software layer explicitly rather than bundling it silently. A product page that states which services are included, which require payment and how to disable smart features will attract a different shopper and reduce post-purchase friction. Transparency here is not a concession; it is a way of matching the listing to the segment that actually wants the product.
Segment the Listing by Use Case
Two listings for the same panel can serve two segments: one positioned as a connected entertainment hub and one as a high-quality display for consoles, laptops and set-top boxes. The second listing needs different imagery, different copy and different FAQs, but it usually converts better for the shopper who was going to disable the software anyway. Segmentation costs almost nothing and reduces mismatch returns.
Put Setup Friction in the FAQ
Most negative reviews about connected devices are really about setup. Adding a short FAQ that explains account requirements, update behaviour and how to use the device without signing in addresses the exact moment when frustration peaks. It also reduces support contacts, which is where the margin on a low-price device actually disappears.
Common Mistakes
The first mistake is assuming that a shopper who disables smart features is not the target customer. They already bought the product, so the issue is retention and review quality, not targeting. The second mistake is hiding account requirements until setup, which converts a manageable expectation into a return. The third mistake is treating review complaints as a customer service issue rather than a product and listing issue.
A fourth mistake is over-rotating to the connected segment because it carries a higher headline margin. If the connected premium depends on services the shopper does not want, the margin is fragile and the returns are expensive. A mixed assortment with a clearly labelled plain-display option often produces a better category margin than a single connected SKU pushed across all traffic.
What This Means for Device Economics
Device economics in e-commerce usually assume a hardware margin plus a services attach rate. If attach rates fall because shoppers actively remove the software, the hardware margin has to stand on its own. That changes which panels are worth listing, how much can be spent on acquisition, and whether a subscription bundle should be sold separately rather than embedded.
The broader pattern is that connected hardware is entering the same cycle that streaming subscriptions did: growth from bundling, then resistance, then unbundling. Retailers that offer the unbundled option early tend to capture the resistant segment before a competitor does, and they keep the review quality that comes with matching expectations to the product.
Summary
Shoppers removing smart features from televisions is a small behaviour with a clear signal: bundled software is now a cost for part of the market. For e-commerce teams, the response is transparency in the listing, segmentation by use case and setup friction addressed in the FAQ.The practical consequence is that planning cycles shorten and the cost of being wrong rises.
The economics follow from there. If services attach rates fall, hardware margin must stand alone, which changes assortment and acquisition spending. Offering an unbundled option early is cheaper than defending a bundle the shopper did not want.That distinction matters because it changes which team owns the decision.Teams that document the assumption can revisit it later without rebuilding the whole model.
Data Sources
People are using AI to make their smart TVs dumb again
AI dynamic pricing and shoppers in groceries
FAQ
Why would shoppers remove smart features?
A: To avoid ads on the home screen, forced updates, account requirements and viewing-data collection that outweigh the bundled services.The same logic applies to any category where the input cost moves before the shelf price does.Buyers should ask for the number behind the claim rather than the claim itself.
Is this a purchase or post-purchase issue?
A: Mostly post-purchase, because the frustration surfaces in reviews and returns within the first thirty days after delivery.The practical consequence is that planning cycles shorten and the cost of being wrong rises.That distinction matters because it changes which team owns the decision.Teams that document the assumption can revisit it later without rebuilding the whole model.
How should a listing handle account requirements?
A: State them explicitly on the product page and in an FAQ covering setup, updates and how to use the device without signing in.The same logic applies to any category where the input cost moves before the shelf price does.Buyers should ask for the number behind the claim rather than the claim itself.
What does subscription fatigue have to do with it?
A: A television needing three subscriptions competes against a plain screen needing none, often at a smaller price gap than the annual service cost.The practical consequence is that planning cycles shorten and the cost of being wrong rises.That distinction matters because it changes which team owns the decision.
Why segment listings by use case?
A: A connected-hub listing and a plain-display listing serve different shoppers, and the second usually converts better for buyers who would disable the software.Teams that document the assumption can revisit it later without rebuilding the whole model.The same logic applies to any category where the input cost moves before the shelf price does.
What happens to device economics?
A: If services attach rates fall, hardware margin must stand alone, which changes assortment choices and acquisition spending.Buyers should ask for the number behind the claim rather than the claim itself.The practical consequence is that planning cycles shorten and the cost of being wrong rises.
References
People are using AI to make their smart TVs dumb again
