I personally think the real answer is not to have a central device, but to spread it out into a peer2peer 'fog'.

There's been some movement in industrial applications via stuff like https://twitter.com/FilamentHQ which leverages hardware accelerated ECC and telehash, using blockchain based DNS systems and other decentralized methods of command and control.

I think a similar direction needs to be taken for consumer hardware and data. The cloud needs to become just another peer.

I've been working with a bunch of interesting ideas on trying to get a distributed IoT network setup using programmable blockchains and Eris industries stack as part of an internship with them.