Security updates is the important part. Particularly when dealing with vulnerable equipment which can be compromised and botnet malware dropped on it. A 0 day in a popular DVR/NVR or home router can lead to tens of thousands of devices that can throw a lot of heat. ISPs have been not great in this space so it's left to a small community to chase down the manufacturers to push updates out. The tragic part is for some devices - the company has gone out of business.The scary part of auto update is when a company does a bad job of it. For example: letting the auto update site domain expire or point to an IP at a hosting provider that someone might pick up and if the devices don't do proper endpoint validation folks can use it to force downloads of compromised images.
All of these things have happened.
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