Samsung Losing Its Name and Integrity

As a specifier, I'm having second thoughts about including Samsung on my current specifications. They have had good success on previous projects and clients like their performance. Now... I can't help but feel nervous about recommending them.

Cook also made this comment:

“As we look to the future, it will be our decision going forward whether or not we keep the Samsung brand on our products or we decide to change it to something else.”

What alternative branding could they possibly go with that would be better than "Samsung" at this point? This is almost like saying "I might keep my country estate, or I might decide to live in my VW Microbus."

What's the source?

So we are going to be a HTEP partner instead of a STEP partner now.....

SamsungSecurity.com is now gone, replaced by Security.HanwhaTechwin.com This is the message displayed as one is redirected:

The US site, Samsung-Security.com (same as above, with a hypen) is still branded Samsung, though we suspect this too will be changed at or on the April 1st timeline they announced.

from a western perspective its like this:

customer:"so what kinda cameras are you putting in?'

installer/sales:"Samsung"

customer thinks about where they have heard Samsung, tvs, smartphones, tablets. oh yeah the really nice non-I phone stuff.

customer:" oh those japanese make really great electronics sounds good now how hard is it to use...."

(yes i know they are S.korean)

hanwha on the other hand

customer:"what kinda cameras are you putting in?"

installer:" hanwha"

customer thinks and remembers all the china off brands at the discount stores/walmart that are really cheap and break/dont work half the time.

customer:" I dont know what those are is that like a china knockoff brand or?"

bottom line most americans/ westerners dont even know samsung is korean, but they know Samsung makes really great stuff. they built and image and trust with their stuff so it can sell better. Hanwha? honestly they could take the camera stuff and make it first class and hanwha be the new AXIS form the 2000's or pelco of the 90's, but right now they are doing everything but trying to prove that they want to make it with cameras.

Sam sung.... or should it be Sam sang?

John,

I don't understand similar discussions in IPVM in regular intervals. Samsung/Hanwha is misleading or we are having such discussion to mislead the market?

Sorry, Initially I was with a good impression by viewing such discussions about Samsung security products or Hanwha security products, whatever , but slowly I feel these similar discussions at regular intervals like confusing IPVM users or security product market.

I would rather like IPVM to bring good discussions about different vendors, customers real problems with different manufacturer's products, where market will get benefit and manufacture's will bring good changes in their line-up based upon the issues found for customers benefit.

Every time I read remarks/discussions like this, including the subsequent discussion remarks by contributors, I am reminded of the following:

As to what Tyco has said versus what we have done, it has been 21 months since this acquisition. Certainly, all of you have had to change your strategies in the past 21 months, to meet changing business environments. -John Becker, Tyco Security Products - Video Portfolio

Yes the context is certainly different, but when you pay this kind of money you own the privilege of calling the tune, regardless of how misguided we all might think the decision is. Hanwha should get out in front and be making these remarks, and they should be forthright and honest, or just do what they will and make no comment what-so-ever; the later is also a bad idea.

My own Rep asked me recently why I have been so hesitant to embrace further dealings with Samsung. Reps have no voice in this, and they have to try and put Humpty Dumpty back together again daily, but an experienced observer could see this coming from a mile away.

The Cook interview in Securityinfowatch was absolutely a terrible decision. It makes him look like the Chet Wallaby of CCTV.

We are the dealers for the Samsung camera , now as the name changes it will be difficult for us to explain people and get their trust back as it was with samsung.

Here is more evidence of Samsung's contrary claims. Right after the acquisition, Security Products 'reported':

"[Tom Cook is] Adamant that this is a stock transition; not an acquisition."

Then Security Products congratulated itself on passing off this fallacy:

"(Sometimes it’s better to sit back and listen; I think you learn more.)"

But most of the time it is better to do research, find things out and understand how business works.

Either way, Samsung Hanwha Techwin has a huge problem to face now but they have made it worse with the approach they have taken.

Here's another tact: "It's ok, because we were never really Samsung to begin with!"

"Samsung Techwin, going back, was a separate public company doing $2.5 billion (in annual revenue). It had its’ own R&D, manufacturing and sales force. Even though we were under Samsung Holdings, Samsung Corporation, we didn’t get our optics from Samsung mobile company or Samsung consumer company, we were and are an independent company,” said Cook. “When Hanwha Group acquired us, all of that R&D, manufacturing and everything else came over. Samsung Techwin, now Hanwha Techwin, has 1,950 employees right now. This is our organization. We don’t share this with Samsung at all — we never did. I think people saw the Samsung brand and said, ‘Oh, they make a camera from the cellphone division and they share technology and all of that.’ We’ve never done that at all.” Tom Cook

I would like more of an opinion of whether the cameras will be the same tomorrow with Hanwha as they were yesterday with Samsung Techwin. Today they are good balance between cost and quality.

They would have been better off just creating an "independent" subsidiary called simply "Techwin" and leave off the Hanwha name. (Just disclose somewhere in the fine print "a division of Hanwha"). But how likely could they have done that? Or was it a matter of misplaced pride for Hanwha to want to put their name so prominently on the product?

"The Samsung name does carry weight," Cook said. "We negotiated that it's up to us [when to stop using the Samsung name]. Eventually we want to make it our own brand." Cook said they want to make sure they don't hurt the company or slow down their momentum, and they will constantly reevaluate to see when it is most beneficial to drop the Samsung name. "There are no legal ramifications or contracts that have to be changed. We are keeping the name by choice."

Offsite Meeting - 12/31/2016

T.C.: What do you think guys, time to drop it?

Guys: Nah.

T.C.: Oh, come on now, we'll make our own brand! You guys pick!

Guy: Can we be Apple?

We work with Sams..... errr... Techw... errr.... Hanwha. It was pretty obvious from the start that there was a specified time period, after the Samsung divestiture, they'd be allowed to use the brand/name.

The strategy was to try and build the product & SI relationships during that transition period to the point that the "name on the box" wouldn't matter.

From the tone of the comments here, it does not appear the strategy was successful.

Hanwha with details on the last part of Samsung eradication:

"Cook said that the products will eventually be rebranded.... The timing is 'evaluated quarterly and monthly, but there is no rush.... Cook mused that rebranding could occur when Hanwha Techwin hits a milestone such as when Samsung “is no longer fifth [largest video surveillance provider according to IHS] and is second or third.”

So Hanwha is going to finish the rebranding when they are bigger than Axis? (Hik/Dahua/Axis - 1/2/3 IHS) That is highly unlikely but an amusingly optimistic statement.

Such a weird description, especially the evaluating it monthly. In what universe will Hanwha or any brand that Hanwha can get be better than Samsung?

I suspect, that like the corporate name change, the final brand eradication is being driven from above, independent of whether Hanwha beats Axis.

Goodbye Samsung. The Puerto Rico partner event is over and Hanwha is in charge:

Even over at the Global site for Hanwha Techwin they're still stamping them out with the unadorned "SAMSUNG" label:

Makes it look like "Samsung by Hanwha".  

Though somebody on ebay knew back in August what the future held: