It's still not clear. The services and the products seem to overlap, especially as it is all software (the smoke alarm certainly has firmware/software on it to make it operate more intelligenttly)
As the ToS also states:
"AS DESCRIBED BELOW, YOU ARE CONSENTING TO AUTOMATIC SOFTWARE UPDATE OF THE SERVICES AND OF THE PRODUCTS CONNECTED TO THE SERVICES. IF YOU DO NOT AGREE, YOU SHOULD NOT USE THE SERVICES."
The software, hardware and services are all closely tied together. The ToS has links to them all, and a failure in one part could easily be blamed upon the services and hence Nest could claim no responsibility.
Again, I am not seeking to blame Nest here, I think they just need to update the ToS to make it crystal clear that they do think their new smoke alarm is a safety system and can be relied upon as such. Terms Of Service are often horrendously written and users should complain about such things to fix them.
Product is also a defined word [1]. I do understand what you're getting at but I disagree about the overlap you allude to. The ToS does delineate the difference between Services and hardware (Product). Failure in the firmware or software on the Product following an automatic update is clearly not an issue with Services (note deliberate capitalisation).
I'd say the terms are pretty 'clear' about the differences in Services/Product but, as with all ToS, you need a fairly high reading level and sufficient time to properly understand them. That's why I put clear in quote marks. You may be arguing that they could be expressed in more human terms but that doesn't make them any more specific.
As the ToS also states:
"AS DESCRIBED BELOW, YOU ARE CONSENTING TO AUTOMATIC SOFTWARE UPDATE OF THE SERVICES AND OF THE PRODUCTS CONNECTED TO THE SERVICES. IF YOU DO NOT AGREE, YOU SHOULD NOT USE THE SERVICES."
The software, hardware and services are all closely tied together. The ToS has links to them all, and a failure in one part could easily be blamed upon the services and hence Nest could claim no responsibility.
Again, I am not seeking to blame Nest here, I think they just need to update the ToS to make it crystal clear that they do think their new smoke alarm is a safety system and can be relied upon as such. Terms Of Service are often horrendously written and users should complain about such things to fix them.