Dahua Demotes USA CEO

By John Honovich, Published Jun 19, 2017, 10:26am EDT

Dahua has demoted their USA CEO Tim Wang.

Inside this note, we examine the move, Dahua's challenges and what lies ahead for the mega-manufacturer.

Wang **********

*** **** *** **** Dahua *** *** *** the **** *** ***** and *** **** ***** executive ** ** ***** releases *** **** *** years (*.*., * [**** no ****** *********], * [link ** ****** *********], 3 [**** ** ****** available]). **** ********* **** having ****** *** ***** since *** ***-***** *** therefore *** **** ********** with ***** ** / China.

USA *********

**** ******* *** *** expansion **** ****** ** organization ** ***+ *********.

Revenue ***** *** *******

***** ***** *** *********** OEM ******** ** ***** America (***** ** ******** at $***+ ******* ** 2016, ********'* *** *** *******), ***** ***** ******** branded ******** ** *** far *******, ****** ** the ~$** ******* **** revenue *****.

Challenges *** ****

**** ******* / ******** from * ****** ** challenges, **** **:

**** *** ********** **** liked ********** *** *** unwilling ** ********* ** making ********* *********, ********* to ******* ******* ***** to *** *******

New **** - *****

*** *** ***** *** boss ** ***** *****. Zhang, ** ***** ********, is *********** ******* / hidden. *******, ** *** listed ******* ** '***** Strategy *******' ** ******** cards ****** ** ******** people. ***** *** ********* the ****** *** *** Wang ** **** * Global ********** ******.

Expansion *********

***** ** ******** * lot ** ***** ** North *******. **** ***** the ***** **** ***** backdoor, ***** *** *** stopped ************ ******, ********* a ******** ******** / ******* American **************** ********* ** *****'* East ***** / ************* facility.

West ** **** *****

*** ******** ******* ** Dahua's ********* ** *** splitting ***** ******* *** US **** *** **** Coast *******. ***** **** and **** ** *** Dahua **** ** ***** in ******** **********, ***** and *** ********* *** leadership **** ** ***** on *** **** *****. Typically, *********, ********** ** small ** ***** *** branded ***** ***, ***** having ***** ******* ** power.

Sales **** ******

*** *** ***** ******* for ***** *** / NA ** * ***** American ** ******** **** of *****. ***** ** planning ** **** *** and **** **** ****, especially ***** ***** ** so ******* ***, ** date, ********* ** ** the ****** **** ** Dahua.

Vote / ****

Dahua *** ******* *********

********** ** *** ** in ****** ** ***** USA, *** ****** ******* is *********. *** ***** can ** ********** ***** the ****** *** *********** situation ** **** ** imagine. ******* **** *** not **** ****** **** / ********* ********* *** the **** ******** ** Dahua ***** *******, ******** tens ** ********, ****** they *** ******* ***, is *** **** *******. To ****, ***** ** going ***** *** **** smaller, **** ***** ********* dealers ** *********, ***** is **** ***** *********'* much **** *********** *** position *** ******* *** larger *****. *** ***** lacks *** ******** ** branding ** ******* ** the ****** ** **** end ** *** ****** against *********** **** ****, Avigilon, *******, *********, ***.

**** ** **** *** the '*****' ****, ** certainly ** *** ****** to ******* *****'* **** fundamental **********.

Comments (13)

They need to secure their software/firmware and make a few product tweaks, but in general, they have a very good, well performing product. They really only fall on their face when it comes to software/firmware. That is a big deal, don't get me wrong. But, I also think it is something that could be fixed quickly with the right people.

secure their software/firmware and make a few product tweaks

That's, at best, indirectly responsible / controllable by a branch division like Dahua USA.

Jon, the element that you are ignoring is the economic, which is understandable since as an integrator you are most focused on product quality, support and price, not economic sustainability of the supplier.

Dahua's USA problem, even if they improved where you want to improve them, is they have a relatively huge staff on the branded sales and marketing side (100 or so), with correspondingly few customers and it's not like improving the product will solve that.

JH, you could be right. I'm looking at it from my perspective.

But, my perspective is that I stopped using them due to these issues, so I assume others have as well. If sales drop due to firmware or software concerns, that is going to affect the ability to maintain profitability.

In my opinion, it all starts with the guys selling the product. If we won't sell it, no matter how well they advertise, or hire hundreds of nice people, they won't be sold.

JD, let's put it this, if Dahua fixed their product problems, would you switch back from Hikvision?

I am not trying to put you on the spot :) as much as I am emphasizing that it will not be easy unless somehow Hikvision stumbles... 

I stopped using them due to these issues, so I assume others have as well

Well, you were early, relatively speaking. Worth noting that Dahua USA (branded) started off and still has a very small customer base (again relative to Hikvision but also Axis, Avigilon, Hanwha, etc.) so the question is how does Dahua make headway into a crowded market where a larger competitor has already spent heavily with the same approach Dahua has taken so far.

We actually prefer the Dahua product over Hikvision when it comes to ease of installation and overall physical design. Hikvision bullets are a pain in the ass to aim. They have large notches that do not allow for sine adjustments.

Also, Dahua doesn't seem as sticker happy, placing many unneeded warning labels on their accessories, like Hikvision does. Sure, you can peel them off, but unless you get all of the sticker residue off, it will attract dirt.

We usually received better pricing from our Dahua OEMs (prior to Dahua USA sales) than we do from Hikvision USA, so we are now spending more for Hikvision.

The Hikvision UI for their firmware is better than the Dahua UI, though. That is a rare positive for Hikvision, other than firmware and software that is.

So, to directly answer your question, I think it would be logical if they cleaned up their firmware and software issues. We wouldn't have left otherwise.

JD, good feedback, thanks!

Totally agree, this factor (along with some QC issues) was enough for us to drop the OEM line totally last year. 

The reliability factor needs to increase by getting more stable firmware releases and fixing "wierd" bugs. This would help launch Dahua IMO. 

In my capacity as VP Engineering here at IPConfigure I had the opportunity to work with Feng (Frank) on an IoT surveillance initiative before he joined Dahua.  He's an affable guy with a deep technical background.  I would expect big things!

Cort, thanks for sharing!

This gives me a bit of hope in what seems to have been a lot of uncertainty lately with Dahua.

Working for a competitor I am still impressed with the image from Dahua.
I hope their urgency in the race to the bottom 2 does not end up ruining a great competitor.

Agreed on the software difficulties; also HIK UI is a little better than the Dahua UI.

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