Very interesting info. Maybe I am missing details but I believe the white thingy is just a switch and mainly serves as the camera adjustment (OSD - on-screen display) i.e. contrast, day/night, exposure, color, shutter speed, etc. Nearly all the cheap cameras from China I have tested have this same little joystick attached to the power/video cable permanently. It seems here the same joystick is used to toggle between the analog hd formats when first powering the camera up but otherwise is likely used to adjust the camera settings as above.
If this is the case then they likely have the chip(s) that controls which hd analog format is used is inside the camera itself on the main board or a daughter board or something.
But as your information above indictates, it seems the HDI has somehow "hacked" the HD formats as putting separate chips from Dahua, Techpoint and nextchip in each camera would make them too expensive. This would explain the performance issues.
Personally, I would kill for such as device as in an installer as a basic tool added to my bag of tricks. A leagal version costing about $100.00 would be well worth it. Never to be left within the system as another point of failure.
It is a possble solution at the technocal side because they(Dahua, Techpoint and Nextchip) are selling the Tx chip(s) itself and a using licence. It said if the device uses the Tx chip of each solutions, no legal issues. But still leaving support issues.
someone is pirating tech within china from chinese companies, not saying its a good thing but mabye its just me who thinks they really dont have a right to complain about legal practices when they violate the rest of the worlds legal practices