Hikvision Sues Over Brazilian Airport Loss
Hikvision was excluded from a Brazilian airport project because it is owned by the PRC government. Hikvision sued the airport's operator but has lost with a Bosch / Genetec / Dell solution being installed instead.
Inside this note, we examine:
- The Airport Project
- CCTV Tender & Exclusionary Clauses
- Hikvision Files Suit
- Arcade Wins Bid, Court Initially Rules in Hikvision’s Favor
- Infraero Challenges Court Decision
- Infraero & Arcade Win, Hikvision Loses on Appeal
- Arcade & Infraero Confirm Delivery Is Underway
- Genetec: Confirms Solution Has Been Deployed at Congonhas
- Hikvision: No Comment
- UPDATE Infraero: Hikvision Could Have Bid, But Declined to Sign Declaration Promising Not to Share Images from Cameras
- Challenges for Hikvision in Brazil
This is the second in a series of posts covering Hikvision in Brazil. For previous coverage, see Brazil Assembly Powers Hikvision Local Expansion.
The ******* *******
*ã* *****'********** *******(*********) ** *** ****'* ******-******* ** well ********'* ******-******* *******, ******* ** * ***** ******** air ******* *** *** ******* *** southern ******.
********* ** ******** **********, * ********* ******** ******** **** ** ******** **********.******** *** ******** **** ** ******** of *********** ********* ********* **** *** **** decade, ***** *** ******* ***** ******* ** 2013, ***** ***** ************.
CCTV ****** & ************ *******
** ********* ****,******** ********* ****** **. ***/****-*/****/******* *** "*********** ** * ********** Company *** *** *********, *********, *** Installation ** *** ************* ** *** CCTV *** ************ ********** ****** ** São *****/********* *******."
*******, *** **** ****** ******** ***** exclusionary ******* **** ***** ********** ** challenged ** *********.********* ** ***** *******(*** *. ***), *** ******* *** as *******:
- * *********** ** ************* ** ********* owned ** ********** ** * ******* government;
- * *********** **** ************* ****** ** the ***** ** ******** **** ********** legislation (** ****); ***
- ************** **** ******* ***********.
Hikvision ***** ****
********* ***** * ******* ******* ******** (the ****'* **** ****** *******-**.****.*.**.**** ********* * ******** **** ****** date) *********** *** "******* *******" **** excluding **** **** ********'* ********* **** tender.
*** ********* ********** *** *** *** project,****** ********** ******** * ********* ****.(******) ***** **** **** ***** *** suit.****** ********, ***** ********* ********, **** ****:
********* *** *** ** *** ***********. This *** *** ****** *** **** went ** *****, ** ** **** to *********** ** *** *******.
* ******** ****** **** ********* ** the ***** **** ********* ** **** that ********* **** *** *** ***** to ******* ** *** ********* ******* process:
*** ************** **** ******* ** **** a *** **** ** ********** ********* to *** *** ******** **** ******** companies **** *** ******** ********* ** a ********** ******. ** ** ********* that **** ** *** ******* ********** and ***** **** ** **** *** process ** ***** ** **** ** more ****—******** **** *** ********** ********* clause *** ****** **************.
Arcade **** ***, ***** ********* ***** ** *********’* *****
** *** *********, **. ******** ********* to **** **** ****** *** *** Infraero ****** **** * ******** ********** Bosch *******, ******* ********, **** ******* and *******, *** *** ********** *********.
********* ******'* ********** *** *** ******** signing, ** ******* **** *** **** Federal ***** ***** ** *ã* *****, part ** *** ******* ******** ******** of *** *** ****** (******** *****) delivered* *******(*** **. ***–**) ** *** *********-********* suit *** ************ ******* ** *** Infraero ******.
*** ***** ******* ** ********** *****.
- The ***** ****** **** ********’* ******** **** *******-***** ******** ****** ** ****** **** ******* as Brazilian law establishes a prohibition on the unequal treatment of Brazilian and foreign businesses.
- *** ***** ****** **** ********’* ******** that *** **** ****** ** ****-********* as **** ** *** ********* ***********.
- *** ***** ****** **** ********’* ******** that ********* *** *** **** ************** from ******* *********** ** ******** ****** demonstrated **** ********* **** **** ***** certifications.
- *** ***** ******* *** ******* ******* be *********.
- The ***** ******* *** ******** **** ****** ** ******** **** *** ****. [emphasis added]
Infraero ********** ***** ********
******** ***** ** ****** *** *****'* decision ** **** ******* / ***** February ****.
**. ******** **** ****** **** **** that ********* *************** ****** ********* ******** drove ********'* ********.
The ***-***** ********* *** ****-***** *** ****** ******** **** *** **** ********** ** ***** ******* *** **** *****. PRC-made products do not offer the security that the [Congonhas] Airport was looking for in comparison to other manufacturers; this was the key reason why the Airport did not allow the [PRC-based manufacturers] to participate. What is more, a company with PRC government ownership could more easily obtain access to the Airport's information. [emphasis added]
** **** *****, ********** ****** ****** end-user ******** ** * **-********* ** the ********** ** ***** ** **** the ******** *** ******* *** ***** / ******* / **** / *** solution.
** ******* ** *******, ******* **** the ***** ** *** ****** ** opt *** ********** **** **** *** have ******* ********** ************, *** ********** that **** *** *** ******* ** the **** ********** ***, ***** ** the******** ** ******. *** ** *** justifications *** **** *** *** ************* do *** ****** **** **** ***, which ***** **** ***** **** **** (it *** *** ** **** **** effect **** ****, *** *** ********* until **** ****) *** **** ** would **** ** *** ****** ** choose * ******* **** ***** ***** security ************.
Infraero & ****** ***, ********* ***** ** ******
** ******** ****, *** ***** ****** a *** ******, ********* *** ******* decision *** ********* ********'* *** ******'* argument **** ******** ****** **** *** right ** ****** * ******** **** of ******* ********** ************. ********* ** Infraero, ***** ***** **** ********* ******* could ** **** *** ******* ********* compelled *** ***** ** **** ** their *****:
***** ** * **** ***** ** Hikvision ** ****** ******** ** ************ de *******ç* **** ******* ********, ** which *** *****-***** ******** ******* *** injunction ************ *** ********** ** ********** Tender **. ***/****-*/****/****, ***** *** ** its ******* *** *********** ** * company *** *** ********* *** ************ of *** ************* ** *** **** and ************ ********** ****** ** ********* Airport. *******,this ******** *** ********* ** *** ******* ******** ******** ** *** *** ****** ** ******** **, ****, ** ******* ** ** ****** ********* ** ******** ***** *** ******** **** ******* ********* ** * **** *******, in such a way that the restriction of the announcement of impeding companies that are the property of or controlled by a Foreign State is fully justified. It should be noted that at no time did the Infraero announcement restrict Chinese technology limiting itself to conform to the legal requirements related to National Security. [emphasis added]
********'* ***** ** ********** **** ********** by **. ******** **** ********** ******:
*** ***** ********, ******* ** ***** of *** ********** ** *** ******** and *** ******* ** *** ***** matter ***** ** ******* ** **** to ******** ******** *** ****** ** the ********* **** *** ***** ** carry *** *** ********.
************, * ***** ****** **** ********* of *** ****** **** **** ****:
******** *** *** ****** *** *** bid ******* ********* ** ** *** originally *******.
Arcade & ******** ******* ******** ** ********
** *** ****** ***** *** ****** verdict, ****** *** ******** **** ***** forward **** ********** ** *** *****/*******/****/*** solution ** *********. ********* ** ******, the ***** ******* *** ***** ****** this **** *** **** ****** ** completed ** ** ****:
*** **** ** ******* ***** ***, we *** ***** ** ********. **** week ** **** *** *** ******* to ******** *** ************ *** ******** of *** *******; *** ********** ********** date ** ** *** ********* ** next ****. *** ******** ****** ** 15 ******, ** *** ******* **** into [*** ****] *** ** ******* that ** **** ******** *** ******** in *** ***** ******* ** *** next ****.
** * ********* ** ****, ******** also ********* *** **** ********** ****:
** ** ***** ************ **** *** tender ******* *** ****** ** ******** of *** **** **** *** *** contract *** *** ********* ** *** activities *** ********* ** *** ******** Diary ** *** ***** ** *** same *****. ** *******, *** ******** are ***** ******** *** *** ******** is **** **** **** ** ********* in ****. **** ******* ** *** solutions ******* *** *** *********** ** question, **** *** **** *****, *******, Dell, *** ***.
Genetec: ******** ******** *** **** ******** ** *********
******* **** **** ****:
******* ** ***** ** ** * valued ******* ** ****** *********** ********** Brazil. ** **** **** ******* ** learn **** ****** ********** ******** * Engenharia ****. *** *** ****** ** question **** * ******* ******** *** can ******* **** *** ******* ******** is *********** ** ********* *******.
Hikvision: ** *******
* ********* ************ ******** ** ******* to ****'* ******* *** *******.
UPDATE ********: ********* ***** **** ***, *** ******** ** **** *********** ********* *** ** ***** ****** **** *******
******** ******** *** ********* ********* ** IPVM ********* *** ******** *********** ** this ******:
** ********** **** *** ****** ******, Infraero **** ******** ****,** *** **** **** *** ************ of *** ********* ** ** ******** has * ******* ********** ** * shareholder, **** ************ **** ** * minority ******** (**** **** **%)*** *** ************ **** ******* * declaration ********* **** *********, ** **** as ********* *** ** ***** *** data ** ******* ********* ** *** of ***** *******.
** ** ***** ************ **** *** Congonhas ******* ** ******* ** * Facility ** ***********, ***** *********** **** as *** ********* ** *** ******** [**** *********], *********, *** *** ***** ** Staff, ***** ******, ********** ****** *** disembark. ** ****, *** ****** ********* are ************ *** **** ***** *** provisions ** ******* ** ** *** No. *.***/**** *** *** ***********,** ** ********** **** *** ************ must *** ** *** ******** ** or ********** ** * ******* **********. [******** *** *****]
*** ********** ******** **** **** * 41% ******** ** *********, **** ********'* statement ******** **** ********* *** *********, or ****** ** ******* *** ******** declaration ************ *** *************** ** **** recorded ** *** *******.
Challenges *** ********* ** ******
******* ****** * ********** ****** ** Manaus *** ******** ***** ***********, ********* ********* ** **** ********** competing ** *** *******, ********** ***** of ********* ***** ************.
******* ** *** ** ****, ** Brazil,** ** *** **** ** *****, ************* *** ********* *************** **** Hikvision's ********** ******** *****-** ***-***** **** deploying *** ***-********** ************'* *********.
***** ********* *** ********* ********* **** its *** ********** *********, ** ** also ************ ****** **********, ****** *** as * *******-****** ******** ************, *** as ** *** ** *** *** government.
*** ***'* *** ******* **** ***** business **** ***, ******
****** **** ** **** ** ****** my *** ******** **** **** * developed ******* ****.
***** * -- **** ********** ******* to ********* *******
***** * -- **** ******* ********
***** * --*** *** ***** **** ********** *** product.????
***** * -- ******!
*** ***'* *** ******* **** ***** business **** ***
* ***** ** *** ******* **** ** ******...
** *** ***********, ***** *** ** some *********. ******* ********* **** **** and **** **** **** **** ******* more **********. ** ***** *** ***** think ***** ***** ******** **** ******* litigation. *******, * ***** **'* ***** but * ** ****** **** ***** thought ******* *** **** ***** ****. Presumably, **** **** **** **** **** going **?
***********, ********* ***** *** **** *** the***** ** *********** ** *** ******* process. ** ******* ** ***** ***** is *** *********.
- *** ******** *** ******** ** ****** ** *****.
- *** *** ***** ** ****** ** offer.
- ****** * ***-*** ***** *** **** the *********** *** ** *** *****.
- *** ***** ** *** ***-*** ***** or ****** *********** (******* ********* ** *****) **** ******** ****** *** ** accept *** ***-*** *****.
******** * **** **** ** ************ done ** *** **. * ***** University ****** * ******** ************/********** **** future ******** *** ******* ***** *******.
**** ****** ** **** ***** ******* at *** *** ******* *** **** low ***, ** **** **** ******* the *******. **** **** ***** *** bidding *** *** **** ****** ***** change ******.
* ***'* ***** ********* *** ****** to *** **** **** ****** ***** products *** **** ** *** *** stop * ********* ** ***** ******** from ***** ***** ** ***** ********.
****, ****! **** ** **** *********!
******: ******** ********* ** **** ******* for ******* ***** *** ******** *********** of **** ******. ******* ************ ** Infraero's ********** **** **** ************ **** the ******. ** *****, *** *******/******* are:
- ********* ***** **** *** ** *** government ******** **** **** **** * 50% ***** ** *********. *******, ********* declined ** ******* * ******** *********** affirming **** *** **** ******** ** its ******* ***** *** ** ******.
- Infraero ********** *** *********** ** ********* ** * ***** ***** ********* ********* **** ********* *** ***** ****** ********* ******* ******* *** ****** ** **** **** "******* ********* ** * **** *******."
- *** ******* **** ***** ****** *** reversed ** ******** **** *** *** April **** ** *** ********** ********.
********* ******** ** ******* * ******** declaration ********* **** *** **** ******** by *** ******* ***** *** ** shared.
**** ** **** **** **** * declaration ** ***** ** ******* ******* of *****'* **** ******** ************ *** which ******** ******* (*** ** **** cases *******) ********, ********* *** ************* operating ** ***** ** ******* ****** for *******’* ************-********* **********.
**** ** *** ****** ** * problem ********** ** ***** ********** **** "No, **, ** ***** ***** ***** your ****". **** ***'* **** * choice.
******* ****** ******!
***** *** ********** **** *** ** so **********.
****** ** ****, *******! **** *** had *** ****** *** *****, ********** since ********* ********* *** *** ****. One ****** **** ********* ** *** matter **** ** **** ** ******* the ******* *** "****" **** *** first ****** *** ******.
* ****** *********, *** ******* **** Hikvision *** ************* ******* ** ******* airports ** ******. *** ******** ***** on ****. ******** ****** *** ******** airports *** ******* *******, *** *** specifications *** *********.
*** ***, *********. *ó* *á ******* que ************ *é****** ** ********* * da ***** ***ã* ***** ********** *** aeroportos ******í*************, ******** ********** *ã* *ã* ** ********. ***ê *** ****ê**** ** *********çã* da ******** **** *** ** *â***** da ********* **** ****çã* ** *********** nos ********** *********?
******.
***** *** ******* **** ********* ** also ********** ******* ******* (************* *******). I ***** ** ** ***** ******** if **** *********** *****. *** *** imagine ** ** ***** *** *********, Dahua *** ***** ** *** *** for ******* *** ******?
*** ***, *********. ***ê **** ************ essas *********** ***** * ********* ************* de *******ó***** (* **** *ã* é ** ********* da ********) ******? ** *** ***** ** Brasil * ****** ** ** ** outubro * ** ******** ** ******** um ***** **** **** *******.
******* **** ******* ** **** ** I ** *'* ***** **** **** none ** *** ****** *********** ** the ******* **** *** ******** ******. Jeitinho *******? ;-)
** **** *** ********, *** *** those *** **** ** ******* * came ** **** ***** ****** ** funny.** **** *** *****, *** **** to **** *** ******* *** *** on **** ***** ... *** ****.
***** *********, *******, ***, **, *****, estamos ********* ********!
* **** ****** *** **'* ******.
********(**), *ã* ***** ********** *é****** ** que ** ************ ** ********* ******* a *** *************** * ***** *** esse **** * *******, ** ****, é ******* *** ** ***** ** evidencias *é****** *** ****************. ** ****** partida ***** *** * ********* ******* investir ** **************. *ã* ** **** ignorar * ************ ******* ** **** maiores *********** ** *â***** ** ***** por *********.
*** *** **** * **** ** ter *** ******** ********** *** ***** testar * ******* */** ********** ** equipamentos **** ***. **** *** *** este ******** **** * ****** ** outra...
********* ****** ***** *** * ****** - *** ***'* *** ******* **** doing ******** **** ***, ******. ************ this ******* *** *** ********** **** may **** * ******** ****** ** other ****** ************** ********* ****.