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Advice: Is the Tado wired thermostat V3 a good idea?
(shop.tado.com)
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Yes that is how it works. But not all features are available through Homekit, most notably you can't set te state for Home/Away. That can only be set through the cloud API.
Be aware Tado just announced limiting access to the Api to 100 calls a day. Which is quite low. For full access you need a subscription for 5 euros a month. Perhaps read up on that before investing.