Mesh network is actually pretty plausible. I remember reading about Amazon smart devices creating a very slow mesh network with each other. Not sure if that was proof of concept or something they actively do (but I could see that being helpful for certain auto config things, if devices can talk to eachother out of band they can establish better assumptions about the target network that they're configuring for)

Edit: Amazon Sidewalk is what I was thinking of. Based on the devices it's on its pretty clearly intended for location tracking like for Tile competitors