It all depends on the terms of service. It is quite common these days for Home Automation devices that have a cloud component to include language that says cloud-based features may be removed at any time. Samsung has the same in their smartthings terms of use.
https://www.smartthings.com/terms
Will SmartThings ever change the Services?
.
We’re always trying to improve the Services, so they may change over time. We may suspend or discontinue any part of the Services, or we may introduce new features or impose limits on certain features or restrict access to parts or all of the Services. In some cases, the changes we make to the Services may cause older hardware devices, third party services, software configurations or setups to no longer work with the Services, and you may be required to upgrade or change these devices, services, configurations or setups in order to continue using the Services. We’ll try to give you notice when we make a material change to the Services that would adversely affect you, but this isn’t always practical.
And of course Google is about to cut off a whole bunch of integrations from the previous “works with nest” program.
And this forum has a large number of people who were previously Lowe’s iris customers, and that entire cloud was shut down with about six months notice.
Courts have generally allowed these agreements to stand in the US. So usually the only recourse is public opinion, which can cause some reversals or at least delays, but only if the company intends to continue in the marketplace.
In this specific case, skydrop, I agree that it looks likely that the company is in desperate financial straits. They may not have a lot of options.
Also, in case you wondered, yes, control 4 has pretty much the same clause in their agreements:
https://www.control4.com/legal/terms-of-use
SERVICES
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The features and functions of the Services are described in more detail in the applicable Control4 user documentation and guidelines available elsewhere on the Website. The Services include any additional features and functionality that Control4 may, in its sole discretion and from time to time, offer to you. Control4 may, in its sole discretion and without notice to you, add, delete or otherwise change features and functions of the Services at any time. If you are dissatisfied with any such changes to the Services, you may immediately cancel your use of such Services as provided in Section 10 below.
Basically if they make material changes they will probably let you end your contract early, but that’s about it.