Hikvision Wins $46 Million Provincial Capital Project Direct

Published Nov 23, 2020 14:17 PM

Hikvision has won a ~$46 million USD deal directly with a provincial capital. The deal includes ~5,000 cameras and covers a wide range of facial, traffic, and "smart community" analytics.

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In this report, we examine the details of the deal, look at what is being deployed, and how much Hikvision is likely to make.

Executive *******

********* *** **** **** **** **** including $**+ ******* ** ******** *** $6+ ******* ** *******, *.*., ~$*,***+ per ****** ** ******** *** ~$*,*** on ******* *** **** ******. ******* they *** ** ********, *** ************* is **** ******* ** ***** *** no ********** ** ************** ** *** project.

Projects ** **** **** *** ******* *** *****

***** * ~$** ******* ******* ** extraordinarily ***** *** ******* *******, * project ** **** **** ** *** so ** *****. **** *** ******* a $**.* ***************, ******* ***** **** ********* *** **** *** * ****** $9 ************* **** **** ** ***** ** Jiexiu, ******, * **** ~*/**** *** **** of *********. ********* *** **** *** bigger ***** **** **** ********* ***, although **** ** **** *** ** the **** ** *** (****** ******* partnerships). *** *******, ********* *** *$*** ******* *** ********* **'**, ******* ** ****, *** a ****** **~$**-** ******* *** *** ********** ********.

Source *********

*** ****** *********, ******** ** *********'************* ** *** *** ***, *** ********** ** **** ******:

  1. * ************ *** ****** **** *** ****** by *** ********* ******** ****** **** overviews *** ******* ***** ** ***** surveillance ******, *** ******, *** **** they **** ** ******* **** **** upgrade;
  2. * **** ** **** ****** *** ***** ********* **** ** Zhengzhou.

************,*** ****'* *********** ********* *** *********** these *****:

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Background ** *********

********* ** *** ********** ******* ** Henan ******** ****~**.* ******* *********, ********** ** *** ********** ** the ***** ******* ****. *********, ******* on *** ******** **** ** *** Yellow *****, *** **** ** ******* capital ** ***** *** *** ****** as ** ********* ******* *** ** central *****, ********** ******* *** ******* China. ** ****** *****, ********* *** become ******* ** "****** ****", ** it******** **% ** *** *****'* ********* *** ******* *******.

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Hikvision **** ~$** ******* *** ****** ******** *******

********* *** *** * ~$** ******* USD ****** ******** ******* ** *** direct **********. *********'* ****** ******** ****** (police) ************ ********* ***** ************ ******* ***** ~***.* million *** (~$**.* ******* ***)** ********* ****.

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*** ******* ** ****** **** **** 3 ********, ******** "********": ******* *, B, *** *. ********* *** ******* A, ***** ~$**.* ******* ***, ~**% of *** ********' *****. ******* * includes *** ****** ************ ** *** surveillance ******, **** *** ********* ****** asking ***:

****** ******** ***** ******* ******* ********, comprehensive ********** ***-********, ****** ******** ***-********, data **********, ******* ******, ******* ****** upgrade, ******** ****** ************, ********* ***** resource ********** ********, ******** ******* ****** and ** ***** *********** ********** ******, etc.

******** * *** * *** *** construction *********** *** ************* ********, ************, and **** *** ** ***** ***** province *********. ******** * *** * are **** ***** ~$***,*** *** ****, which ** **** ***** ******** ** Hikvison's *****.

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Pricing ********

*** ********* **** ****** ******* ** hardware *** ********. *** ******** (~**%) of *** ~$** ******* **** **** go ******* ********, **** ** *******, servers, ***. ~**% **** ** ***** on ********, ***** ******** **** *** specific ********* *******. *% ** ***** on ******** ****** ******** **** ***** Unicom, ********* ****** *** ****** ***** to ******* *******. *** **** *% is ***** ** ***** *****, ********* hardware *** ******** ***********.

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Project *****

*** ********* ****** **** *** ************ system ** ****** **** **************, ********, and ********* ******* **** $**.* ******* deal. ***** ** **** ****, ********* already *** ***,*** *******, **,*** ***** by *** ********** *** **,*** **** non-government ***** ******* ***** *** ****** are **** ** ******, **** ** cameras ******** ** ***** ***** *** stores. *******, *** ****** ******** * number ** ****** **** *** **** the ******* ****** *** ************** ***** **** *** *** ******.

********* ***** *** ****** **** ****** more ************** *** "*************", ******* *** system ****** ** **** ** **** on *** **** **** ******* *** been ********* ** ******* **** ** the **********. *** **** **** *** current ********* ********* *** ***** ** a "******* *********", ******* **** *** too ******** *** ******, ******* *** ability ** *********** **** **** *****. The ****** *********:

*** ******** ***** ******* ******** *** not **** *********** ** ********* **** police *** **** *** ********** *** data, *** ** *** *** **** completed **** ****** *** **** *** government *** ****. ** ** ************ in ********** *** ********* ************ *** some ************.

*** **** **** ******** *** ******* system's ************, *********:

********** *********** ***** ** *******, **** reporting ********** **** *** ********. *** cameras **** ****** ******, **** *** angles, *** *** ******** ** ****** and *** *********** *** **** ** high ** ***** ************.

******, *** **** **** *** ******* platform ** ********* *** ******* ****** to *********** *** ** *** ********* features *** ******** ******* ******* *************. Zhengzhou ******** ****** "**" ********* **** make ***** *** ******** **** ********* for *** ******, ********** ** ***** needs ****** **** *******:

** ********, ***** *** ** ******* applications ***** ** *** ** *********** capabilities **** **behavior *** **** ***********, and applications based on multi-dimensional big data such as face, ***** ****, *******, ***, **, *******, ****, ***., which cannot meet the increasingly complex user needs. [emphasis added]

Software $**+ *******, $*,***+ *** ******

*** **** ***** $**+ ******* ** software ** **** $*,***+ *** ******, a *********** ****** *** *** **** than **** ***** ** *** ******* itself. **** ** **** ******** ******** 500+ ******* **** **** ******* ********* for *********'* ***. **** ******** ********** listed ** *** ******* ***** ** face *** *** *********, **** ** specific ******** ******** *** ******* ******** software. ********* **** ****** (**% ** $13.7 ******* *** *****) ********* ******* software. *** ********* $*.* ******* *** software *** ******* ** ********* *** split ***** ~** ******* ***** ********** companies, ***** **** ** *** ******** provided ** **** **** *** *********** and ********** *** ****. *** ** the ******** ****** ** *** ******* used *** ****** *********** *** ******* as ********* ********, ****** *** "******** Algorithm *". **** ********* *** ******** by********* **********, * ***************** ** *** ***** ************* ** ***** ****** ****** in ********.

Cameras *** *******

*** ****** **** ****** **** $* million *** ** ~*,*** *******, ** an ******* ***** ** ~$*,*** *** per ******, ********* * *** ** facial *********** *** ******* *******.

*** **** ****** ****** ********* ** Zhengzhou ** ****** *** "********* ** ****** ****** *" (**** units ** ~$*** *** ****) ** Hikvision's******** ***** ***** ****** **** **** in **** ****.

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*******, **** ***** *** **** **** detailed *********** ***** **** ****** (**-**********-***) ** ** *** ***** ****** engines, *** ** *********'* ***** *******. In ****, **** ***** *** **** online *** ******** ** *** ****** Hikvision *** ****** ** **** ** Zhengzhou. ** ** ******* ******* ***** models *** *** ********** ********* ** whether *** ******** ***** ******* *** placeholder *******.

***** ********** ******* *******:

  • *** ********* *** ****** -***-******(*** ***** ** ~$*,*** ***): *** recognize *** *************** **** ** *****, make, ***** *** ****** ******** ********* like "******* ** **** ****, ******* lane ******, *****-*** ******* *********, ********, and ***** **** *********"

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  • *** *** ****** - ***-****** (** units ** ~$*,*** ***): **** ****** does *** **** **** *** *********, but **** ****** ********* *** ******** including ***, ******, **** **** ** clothes *** ****** ** *******, ***.

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  • **** ***** ****** * -***-**********-****/***(*** ***** ** ~$*,*** ***): **** is * *** *** **** ** IR *** ******. ** ****** "********** simultaneous ******* ** *****, ******, *** vehicles" *** *** ** **** *** "personnel/vehicle ********** *** *******" *** ******** people ** ******** ** ********* ****-**** GPS ***********.

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Profitable ****** *****

***** ******* *** ****** ** ** very ********** *** *********. ******* ******* were **** ** ********* ** $*,*** and *,*** *** ****, *** *** facial *********** ******* ***** **** $*** to *,*** ***. ***** *** **** prices ******** ** ******* **** ******* specs. ********, ** ********* ** *** direct ****** ** **** *******, ********* eliminates ********* *** ** **** ** gain * ****** ***** ** *** profits ******.

*****

***** *** *** ******* ********* *** just *% ** *** ***** **** or $*.* ******* *** *********:

  • ******** ***********: ~$***,*** *** *** "******** system ***********." ********* ****** ********* ******** integration ***** ***** ** *** **** item, ****** **** ******** *** ***** up **** *** **** ** ***** to ******* *** ******, * ******, etc.
  • ******** ***********: ~$***,*** *** *** "******** system ***********." *****, ********* ********* **** cost ** * ****** **** **** with ** *********** ***** **** ** actually ********.
  • ************* ************ ***** *****: ~$***,*** *** other ************* ************ ***** *****, ********* installing ****** *****, ******** *** ********** boxes *** *******, ********* ******** **** removed ****** *** ************ *******, ***.

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***** ****** *** ***** ************ **** is ~*/*** *** ***** ** **** it ** ** *** ** ** US, ***** ***** ******* *** *** labor *********** ** **** ***** ******** would **** *** *** ******* *********. However, *% ***** ********** ***, ** compared ** * *********** ****** **** *** ******, ******, ** ***** ***** ***** ********* for **% ** *** ***** *******.

Back *** ********

*** ******** ** *********'* ******** ***** are **** *** (~$**.* ******* ***), particularly ****** *******, "********** *********", *** cloud *******. *** **** ******** *** Huawei ******* (**** ************ **** **) ******** $*.* ******* ***. *** servers **** * **** ***** ** functions, ********* ******* *** "******* ******** analysis", "******* ******** ******** **********", "*** secondary ********", ** **** ** ******* for **** ******** ** ********* ** conduct ***** *** ********.

********* **** ***** ~$*.* ******* *** on ***+ ***** ** "********** *********". This ******** $*.* ******* *** ** "specialized ********** *********" ************ *********, ***** ***** "******* *** ******* data ************* ********** *********" *** "******* content ******** ********." *******, ** ** unclear **** *********** **** ********* ********** equipment ** ******** **********, ** **** was ****** ** **** *** ********** to *** ***** ****** *****-*-*/**. ********* further ****** $*.* ******* *** ** "RD ********** *********" **** * ******* named "*****" (信安), ***** **** ***** not ****** *** ******** ** ******. RD ********** ********* ** **** *************** ******* ******* **** ***********.

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*******: ***** *** ****, **** ****** for "***** *********" ******

********* ** ******* *** **** ******* in *********'* *****, ***** ****** ** use **** *** **** ****** ** its ******* * "***** *********" ***** projects. *** **** ***** $*.* ******* USD ** ********* ***** *******. *******, the **** ** ***** **** ****** (HDD-WD82HKAI-78) ** ******* *** *** * pilot ********* ********, ********** ** ***** at ~$*** *** **** **** *********. The ***** ******** **** ******** * NVRs (***-*******-***, ***-*******-***) **** ***** ~$**,*** ***.

Analytics - ***+ *******

***** **** *** ******** **** ********* sold, ********* **** **** **** *** separate ******* ******* **** ~$*,*** ** 13,560 *** ****** ** ** ******* developed *** ***** ** ** ********* software. ***** ******* ***** ******, ******** traffic *** "***** *********" ********* ** specific ****** *********. **** ******** ** notable ********* *******:

  • *********
    • ***-******** ***** ********
    • "**** **** *****" ********
    • ****** ***** ******* ********
    • **** **** ******** ****** - ** detect ** * **** **** ** loitering/hiding ** * ************
  • *******
    • ********* ******* **** *******
    • ******** ********, **** ** ** *** driver ** *** ******* * ******** or ***** * ********* ***** *******
    • ******* * *** *** ********** ******** in *** ****
    • ******* * *** ******* ***********
  • ****** ********
    • **** ***********
    • ********/********* ****** ** ****
    • ******** "*********" ******
    • ******** "******* ******" (特殊人群), ******** ** is ******* *** **"*******"
    • ******** "*** *****" (重点青少年)
    • ******** ****** *** *********** ** * special "****-**** *********"
  • ****** *********
    • ******* ****** ** ******
    • ******* ****** ** ***
    • ******* ****** ** ********* ****/****
    • ******* *** ** ***
    • ********* *** **** ** ****** ** a ******** ********/**** **** ****** ** a ******** ********

Deal ******** * ***** ********* ***** ********

*** **** **** **** ***** * "smart *********" ******** ****** *** ****, including *** ******* ******** ~$***,*** ***. The ******* ****** *** *** ******** are ******* ** ***** **** ** other ***** ***** ********* ********, ****** facial *********** *** *** *******. ** outlined ** *** ******** **** ***** issues **** *** ******* ******, ********* is ******** ***** ***** ********* ******** to "******* ******** **** ******** *** livelihood ** *** ******." *** ****** should "********** *** *********** ******* ** video ************," *** **** *****:

*** ******* ***** ****** ** *** connected ** ******** ******* **** ** the ****** ******** ******** *** *** comprehensive ********** ******** ** ***** *** business ************ ** ****** ********. *** video ********* ** ****** ****** **** not **** ****** ** *** ******* world, *** *** ****** **** *** experienced *** *********** ******* ** ***** construction. *** *******, **** *********** ********: viewing *** ***** ** *** *********, reporting ******** ****** ** ****, ******* the ***** ** *** ********** ******* hall, ********* * **** ** **** according ** *** ****** ** ******, viewing *** ***** ** ********* **** sections, *** ******** * ****** ***** according ** *** ********** *********.

Hikvision ******** / ********* *********** *******

** ********* ****** ** **** ******** is **** ** ** ******* *** well *********'* ******** *** ********* ******** perform. ** *** ****, *********'* ********* and ******** *** *** ******* **** and **** **** ******** ******** **** their ***-**** *******. ** ** ******** that *********'* ********* *** ******** *** much **** ******** ****** *****, ****** we **** *** ***** ******** ** this ** ****.

Profitability *****

***** ** ** ******* *** **** these ********* *** ******* **** ******** perform, ** ** ***** **** ********* is ******* ********* **** **** ******** and ******** *****. *** ***, ** is ************* **** ********* ** ******** ~$3,000 ** ******** ***** *** ****** installed ** **** *******. **** ******* is ****** ** ** ********* ********** as ********* ** **** ** *** out *** ********* *** **** ******** to ********* ***** ******* ******** ***** of **** ****** ******** ***-***.

Comments (7)
JH
John Honovich
Nov 23, 2020
IPVM

********, **** ********!

***** *** **** ****** ** **** project *** ******** ****** $* ******* ***, ** ****** *** ******** ** whether *** ******* *** ************* *** PRC ********** ** ********** *** ***** surveillance.

*** *** ********** ******* **** * lack ** ***********. ***** *** **** a *** *** ********* ****** *** enough ** ********* ******* *** ***** deals (*.*., *****, *********, ******, *** Uniview) *** *** ******* ******* ********* like ****, ********, ******, *******, *** Milestone *** *********** *******.

****** *****, ***** ** *** ****** charged, ******* ********* ***** ****** **** a *** ** ***** ** ***** deals ***** ********** ****** *******.

*** **** ***'* *** ***** ***** are ***** * **** *** ***** and ********* ** ******** ******* ******* that *** ** **** *** ******** expansion *** ***** ****.

(1)
Avatar
David Coughlin
Nov 23, 2020

**** ** *********** *** *** **********. Given *** ************ ******* *** *** the ******* **********, **'* ****** ********* to **** *** *** **** ******* and "******." *** **** *****, **** difference **** ** ****?

JH
John Honovich
Nov 23, 2020
IPVM

**'* ****** ********* ** **** *** the **** ******* *** "******." *** then *****, **** ********** **** ** make?

****, ** *** ** ****** ***** from *** ********** ****** ** ******* but *** **** ***** ** *********'* pocket *** **** **** ******** ** ******** *** ** **********, *** **** **** *** ************ ** ******* *******, ***.

(2)
SW
Susan Wright-Friedel
Nov 23, 2020

**** * *** ** **** ******* is "***** *****". ***** ****** **** of *****

(4)
(2)
(2)
Avatar
Anthony Jones
Nov 23, 2020

* **** ***** ********** *** ******* sheet ** ********* ***** ********. *** PRC ****** ***** *** ***** * grant ** * ******* ** ******* a *******. **** **** ***** * project ** *** *******. *** **** this *** ******** ** *** ****** line? *** **** *** * *** owned ******* ***** ***** ** ** sell ******* ** * *** *** entity, *****?

JH
John Honovich
Nov 23, 2020
IPVM

*** **** *** * *** ***** company ***** ***** ** ** **** product ** * *** *** ******, right?

**, ********* *** **** *** *****, even ** ** ** * *** controlled ******. **** ********* ***** *** money **, **** *** ** **** it ** **** ****. *** ******* can ** **** *** *&*, *** bonuses ** **********, *** ******** *** facilities, *** ********* ***************, ***.

***** ** ** **** *** ** Dad ***** ****** $***, *** ****** is ** **** ******* *** ****** can *** ***** **** ** ******, comic *****, *******, ***.

(1)
UM
Undisclosed Manufacturer #1
Nov 23, 2020

**** *** ****** **** *** ****** to ******* ****** **** ** *** the *** *****.