Unpacking the Differences: AO Smith vs State Water Heaters

As your resident home improvement expert, I‘m often asked if AO Smith and State water heaters are the same. It‘s an understandable question – both are leading brands in the residential water heater market. However, there are some key differences between these two manufacturers. Let‘s take a deep dive to understand how they compare.

Getting to Know AO Smith

First, a little background. AO Smith is one of the oldest and most recognized names in water heating. The company was founded way back in 1874 and is headquartered in Milwaukee, Wisconsin. Over its 150+ year history, AO Smith has grown into a global manufacturer of water heating equipment for both residential and commercial use.

AO Smith offers an extensive lineup of water heaters including:

  • Traditional tank-style heaters
  • Tankless and on-demand heaters
  • Heat pump and solar thermal models
  • Commercial and industrial boilers

In addition to water heaters, AO Smith also manufactures air purifiers, water softeners, and water filtration systems.

With state-of-the-art manufacturing plants in the US, Mexico, China, and India, AO Smith distributes its products worldwide. The company is listed on the New York Stock Exchange and reported $3.19 billion in sales in 2021.

The Story Behind State Water Heaters

State Water Heaters emerged in 1953 as State Industries, a California-based manufacturer catering to the residential market. State gained a reputation for dependable, high quality water heaters at affordable price points.

In 2001, AO Smith purchased State Industries, adding the trusted State brand to its portfolio. AO Smith saw the State acquisition as strategic for several reasons:

  • Complemented AO Smith‘s existing residential product line
  • Provided additional manufacturing capacity
  • Gained State‘s strong wholesale distribution channel
  • Expanded reach into new geographical markets

Although now owned by AO Smith, State continues to operate as a distinct brand. State water heaters are manufactured in AO Smith facilities, but are targeted at the value-focused, wholesale market.

Here are some of the core products in State‘s current lineup:

  • Atmospheric vent water heaters
  • Power vent water heaters
  • Residential gas and electric models
  • Sizes from 30 to 100 gallons

So in summary, State has an established name in basic, residential water heating while AO Smith offers a diverse global portfolio. Now let‘s compare the two brands head-to-head.

Comparing AO Smith and State Water Heaters

At a high level, both AO Smith and State provide time-tested water heating products to homes across the US. But when you look closer, there are some clear distinctions between these two industry leaders:

Product Line Differences

The most obvious variation is in the breadth of products available. State concentrates on core models like atmospheric vent and power vent residential heaters.

Conversely, AO Smith offers a much wider selection including:

  • Tankless water heaters
  • Hybrid heat pump water heaters
  • High efficiency condensing units
  • Large volume commercial heaters
  • Solar water heaters

So while both brands provide reliable water heating equipment, AO Smith clearly has a more diversified and innovative product catalog.

Technology and Efficiency

Given its wider range of products, it‘s no surprise that AO Smith has more advanced technology and efficiency capabilities.

For example, AO Smith was an early pioneer in electronic controls and sensing to improve performance. Many AO Smith heaters feature:

  • Digital temperature displays
  • Electronic ignition
  • Built-in leak detection
  • Advanced diagnostics

In contrast, State water heaters utilize more standard mechanical controls like gas pilots and analog thermostats. This gives AO Smith the edge when it comes to technology integration.

There is a similar gap when it comes to energy efficiency. AO Smith places focus on Energy Star certified models and cutting-edge heat pump technology. This table summarizes the difference:

Efficiency Ratings AO Smith State
Energy Star Models Wide selection Very limited
Tankless/Heat Pump Many options Almost none
Avg. EF rating 0.67 or higher Around 0.59

As you can see, AO Smith clearly dominates when it comes to energy efficiency innovations.

Target Markets and Sales Channels

The intended market segments for these brands also impact the product designs and features.

State concentrates on residential products for price-driven wholesale and contractor channels. This leads State to offer budget-friendly models with basic features.

On the other hand, AO Smith sells across multiple channels including direct to consumers via retail outlets. With consumers willing to pay for premium features and technology, this allows AO Smith to incorporate more advanced controls and efficiency into its water heaters.

Reliability and Warranties

When it comes to reliability, both State and AO Smith have good reputations for durable, long lasting water heaters. State has over 70 years of proven performance while AO Smith has over a century of water heating experience.

In terms of warranties as an indicator of reliability, State offers warranties of 5-6 years on residential water heater tanks with 1 year coverage on parts.

AO Smith provides 6 year limited warranties on tanks and parts for residential models. But they also have an optional 10 or 12 year limited warranty available for purchase on most models, showing their confidence in the product durability.

So while both brands produce reliable water heaters, the edge goes to AO Smith for their extended warranty options.

Making the Right Choice for You

As we‘ve discussed, while AO Smith and State both provide quality water heating solutions, there are clear differences between these two industry leaders.

AO Smith offers more technology, higher efficiency, and premium features but also commands a higher price tag. State provides affordable reliability focused on core residential products for wholesale channels.

So which is right for you? Here are a few guidelines:

  • If budget is a concern, State delivers solid performance for the money. Stick with State for basic residential needs.

  • If you want the latest technology and maximum efficiency, AO Smith is the leader in innovation. Expect to pay more for these advancements.

  • For difficult replacement situations or complex setups, the broad AO Smith catalog provides specialized options State can‘t match.

  • If you just need a simple, reliable water heater for a residential retrofit, State is tough to beat on price and performance.

The most important thing is making sure your water heater matches your requirements. Hopefully this overview provides the details you need to choose between State and AO Smith. Let me know if you need any other home improvement insights! I‘m always happy to help.

Jorge Tuffnell
Home Improvement Expert

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