Man you guys just don't get it. Companies like Exceptional innovations and C4 will sell to mass retailers cause they want to.
Venting about that here will not change their strategy. It's done.
You just need to decide what you want to do.
If you want to compete with that, go ahead.
If not, then buy Crestron, AMX or Netstreams (all 3 of which have interesting systems that may enable you to differentiate and offer something better).