AI Hardware Moves Beyond Concept Demos and Into Real-Life Scenarios

Berlin, September — At this year's IFA, AI was undoubtedly the dominant buzzword on the show floor. Unlike in previous years, exhibitors no longer talked only about large language model (LLM) parameters and concept demos. Instead, the focus was on what AI can actually deliver for users. AI hardware is moving from the show floor into real-world scenarios.

Tuya Smart's booth was one example. Crowds gathered around a small, white, dome-headed robot — Doova. An AI home companion robot designed for older adults living alone, it was equipped with LDS LiDAR, four-microphone sound-source localisation, and a visual AI posture-recognition algorithm. If an older adult falls or faces an emergency, they can simply call out, 'Hey Tuya, help,' and the robot can quickly locate and reach them.

The Hangzhou-headquartered global AI cloud platform provider used this year's IFA to showcase how AI is moving from concept into real-world scenarios. Alex Yang, co-founder, COO and CFO of Tuya Smart, said during the show that AI can deliver real value only when it is grounded in users' genuine needs.

At this year's IFA, AI companion hardware was noticeably more prominent. In choosing its entry point, Tuya chose not to jump on the 'humanoid robot' bandwagon but targeted two groups: preschoolers and older adults living alone.

Yang said many people in their seventies have children who have moved to other cities for work and no longer live with them — a pattern seen in both Europe and China. Some have also lost their partners and can easily become socially isolated. They need emotional companionship and positive reinforcement, along with practical reminders, such as prompting them to take their medicine after breakfast or to check whether they need a prescription refill.

When it comes to industrial design, Yang believes humanoid robots currently tend toward two extremes: some look too metallic, appearing cold and lifeless and making an emotional connection with users difficult; others are too lifelike and easily fall into the 'uncanny valley.' Tuya therefore chose a rounded, friendly form evocative of R2-D2 from Star Wars.

One core function of companion robots is to deliver emotional value. Tuya has run user trials in China and Japan. While the user groups differ, the underlying logic is the same.

When designing the roles and capabilities of companion robots, the first step is to identify emotions and respond with empathy. Tuya also keeps pace with online slang and trending topics. Unlike the children's version, the adult version offers more personalised personas: some are blunt and sharp-tongued, while others are gentle and introverted. Users can choose the companion style they prefer.

By revenue, Tuya is a mid-sized company. But the total value of the smart device ecosystem powered by its customers is substantial. To date, more than one billion smart devices have been shipped to global markets through Tuya's platform. When asked whether serving both B2B customers and end consumers creates a conflict, Yang said it does not.

The central question, he said, is whether AI will become new infrastructure for society and the economy — and the answer is a clear yes. As long as there is genuine demand and technology can meet it precisely at the right cost, adoption will follow naturally. For Tuya, what matters most is remaining an open platform and letting technology flow to wherever demand lies.

This year, many manufacturers have begun mass-producing and commercialising their prototypes. Yang believes a large number of AI devices will enter the European market this Christmas season. In his view, AI hardware will be adopted quickly in three areas:

First, Home Apps in the residential market. Security products are a case in point. Tuya has been developing this market for more than a decade. Connected devices existed before the rise of AI; now Tuya is using AI to upgrade them from merely 'connected' to the 'next generation.'

Second, Energy. Energy is becoming increasingly important in global markets, especially in Europe and the United States. AI consumes a great deal of electricity, while geopolitical factors are reducing supply even as demand continues to rise. Tuya is linking major power-consuming devices and batteries to the grid's supply-and-demand dynamics.

The company has integrated its platform with more than 1,000 utility companies in Europe and can access real-time electricity prices and supply forecasts. By controlling battery storage and other controllable devices, Tuya can optimise the load curve and help users reduce their electricity bills.

Third, Robot. Tuya started with companion robots because it found that this is the category consumers are waiting for. Robots that dance or fight are currently aimed mainly at commercial scenarios, with limited consumer adoption to date. Tuya is instead focused on robotics built for the home.