Re: And feed MORE kit to these jackals?
What do you suggest? Anything you do will be tied to an IP gateway in about 15 minutes by someone, even if you don't allow it.
Even without, you'll end up with entire streets daisy chained together with BTLE devices paying data, or with ad hoc networks, or turning the lights on and off to get data transferred, or even, the weird virus idea bright to life, the devices communicating by ultrasound.
So once compromised, there will still be plenty of routes for stuff to hack other stuff. After all, you'll just Google the exploit for the bit of kit you are looking at, & it will tell you what comms paths it has.