Google’s Nest released version 2.0 of its software for the Protect product line this week, and while there aren’t any earth shattering features in the release of this software, there are a couple of interesting upgrades that speak to what products like Nest will be able to do in the future. The biggest feature of the release is the ability for Protect to tell the difference between steam and smoke but, while this is a nice feature, the more interesting aspect of it for the long term is that the hardware for this feature was built into the device in the beginning and was turned on by the latest software update.

This is particularly interesting not only because it showed some vision for what consumers will be looking for in the future, but also because, as the Internet of Things continues to evolve, it is entirely possible there will be other Things where companies will be able to anticipate hardware needs before the software is tested and certified or before consumers are ready for it to be introduced.

Nest also released a few small features such as lighting enhancements, alert history, and showing carbon monoxide levels. While small, these features were all introduced because of data Nest was able to collect over the past year about how people use their Protect.

Collecting user data and building features based off of it is not a new thing by any means, in app analytics have been around for years. However, this is particularly interesting when thinking about the future of the Internet of things and how the data we all contribute just by using devices will change how those devices evolve.

The concept of a smart home is not a new one but software updates like this does make one wonder exactly what it will be like. With players like Apple, Samsung and Google working on bringing smarter hardware into our homes, future major software updates of all this hardware could mean coming home one day and having your home behaving very differently, think iOS 6 to iOS 7.

In the future, it’s completely conceivable that the smart home will, like websites do now, receive frequent updates to improve the user experience based on the last month of data. In a world where everything is moving to being online, we could be sitting in a house that is smart enough to be constantly updating itself to make us more comfortable by understanding what we like and don’t like based on real data. The Internet of Things is still in early days but we should be looking forward to some very exciting and continuous innovation as it gains momentum.