The current version of the SmartThings Hub requires a persistent Internet connection in order to communicate with the SmartThings Cloud. Your hub must be connected via Ethernet and micro-USB in order for your hub and connected devices to function properly.
In the event that your Internet connection cuts out, or your SmartThings Hub loses power, your hub and Things will not be controllable until the connection/power is restored.
In the long-term, we do hope to implement some level of local control between the SmartThings Hub and connected devices.
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