@mfalkvidd
This statement is the crux "It just needs to expose its capabilities in a form the AI can use".
The IoT device would have to present its capabilities in MCP-ese. This could be complex, for example, one could tell the AI, "Heat my house in a way minimizes on/off cycles." It would have to know a large number of things, temperature (indoor, outdoor, outdoor and indoor heat transfer fluid), fluid flow rate, fluid pressure, indoor and outdoor fan speed, how to regulate those speeds, and more.
What I think I'm trying to say is that it will create more overhead.
And this AI, where does that reside? If not in the cloud (the cloud has its own set of negatives), then on a home server? ... yet more overhead.
It seems like instead of simplifying our lives, it would overly complicate them.
Of course, I guess, we could ask AI to design our IoT devices :o
-OSD