Law Breaking Longse Enters USA

Published Nov 22, 2017 12:48 PM

Longse has established itself as world class, at least in spamming the industryripping off Milestone and Video Insight as well as Hikvision.

But they have always done so safely hidden away in China.

Now, they have entered the USA:

 

In this note, we examine the risks involved and the potential opportunity

US ****** ********

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Upside ** ******

************** *********** ****** ***** *****, ******* and ********. *** *******, ******* ****** incredible ******* ($* *******, ***.), *** integrators *** ****** ****** ******* *** risk ** ******* **** ** ************ whose ****** ******** ******** ** *,*** miles **** ** *** ***** *** problematic *** ****.

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Opportunity **** ***** *** ********* ***** ********

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Longse Vs *********/***** ********

** * ****** **** ** ******* ****** *******, *********** ****** ************* ******* ******. Overall ***** *******, ************ ** ****** and ********, *** * **** ***** Hikvision *** *****. *******, ******* *** significantly ******* **** *********** ********* ** Dahua *******, **** ** ****** **** order **********, ****** *** ******** *********** attractive *** ***-****** ********. *******, * US ****** ***** ********* ******** *****, which ***** ****** ****** *******. 

Challenges ******

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Legal *****

********* *** **** ***** **************** *** *********'* *********, *** ********* **** **** ******** ****** **** ********* and ***** *******, ***** *** **** ***** ****** hide ****** *****, ********* **** ** Western ******* ***** *** **** ** Chinese ******.

**** * ** ******, *** ***** risks ********. ***, ****** **** **** assets ** ****** ** $**, *** operations **** ******* ******* ***** **** recourse. *********, **** ****** ****** ** mature *** ** **** *** ********* practices **** **** **** ** ****. Otherwise, **** **** **** ******* *** ***** and ***** ** ******** ***** '********' in *** ***.

Comments (55)
Avatar
Sean Nelson
Nov 22, 2017
Nelly's Security

I got the email from them on this as well. They said they will only be stocking "Longse" branded equipment in the USA.

(2)
UM
Undisclosed Manufacturer #1
Nov 22, 2017

I think I remember IPVM mentioning they asked the head of Longse to take IPVM staff off the SPAM list when they were at maybe ISCWest a few years ago....? Did you guys stop getting emails from "Elvis"?

UM
Undisclosed Manufacturer #2
Nov 22, 2017

$6 cameras?? I may have to start my own integration company now. I'll easily clear a 1000% profit end of year, although that will equate to about $600, my car trunk is my warehouse so expenses are low. I will easily steal business from all the serious integrators who sell on value and solution. With Longse, I can take the Hikvision dealer philosophy to a new level!

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Avatar
Rich Moore
Nov 22, 2017

Don't forget to keep a couple (30 or 40) in your trunk so you can change them out when the cameras you installed go bad.

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UM
Undisclosed Manufacturer #1
Nov 22, 2017

$600 profit! You'll be laughing at Hik dealers all the way to the bank!

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U
Undisclosed #3
Nov 22, 2017
IPVMU Certified

Ripping off Hikvision's interface, and releasing a VMS with elements stolen from Milestone and Video Insight, until now they could simply hide inside China, confident that no Western company would sue them in Chinese courts.

Maybe Hik USA will sue Longse USA as a little warning to those who venture out of their ‘backyard’...

 

Avatar
Brian Karas
Nov 22, 2017
IPVM

UPDATE -

Just received confirmation that the building is actually owned by Longse. Updated report to reflect this:

For their US location Longse purchased the office building they will occupy. LA County Tax Assessor Site shows the building was recently purchased for just under $1M. An enquiry to LA County lists the building owner as "LONGSE USA INC".

(3)
U
Undisclosed #3
Nov 22, 2017
IPVMU Certified

Sprawling Longse campus with cavernous built-in parking structure:

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Avatar
Jon Dillabaugh
Nov 27, 2017
Pro Focus LLC

Why does that wall pack below the Longse sign look much older than the building itself?

(1)
U
Undisclosed #3
Nov 27, 2017
IPVMU Certified

Why does that wall pack below the Longse sign look much older than the building itself?

Spamblasting.

(1)
Avatar
Joseph Marotta
Dec 01, 2017
IPVMU Certified

And the surface mounted conduit screams 'existing building', not a new one.

Avatar
Brian Karas
Dec 01, 2017
IPVM

It is definitely not a new building. When I looked at tax records, I believe it was built in the 90's. 

Avatar
Sean Nelson
Nov 22, 2017
Nelly's Security

I've always thought that if Longse could develop more solid GUI's and Software interfaces, that they could be a real threat as long as they can keep their prices the same.

(1)
U
Undisclosed #3
Nov 22, 2017
IPVMU Certified

I've always thought that if Longse could develop more solid GUI's and Software interfaces...

I would have thought you would like the Hik Longse interface ;)

 

(1)
Avatar
Sean Nelson
Nov 22, 2017
Nelly's Security

Ha! Apparently they got permission from Hik to use that interface. Not sure if its true or not. It may look like Hik, but definetely not as solid. It was laden with bugs when I tried it out.

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JH
John Honovich
Nov 22, 2017
IPVM

Apparently they got permission from Hik to use that interface. Not sure if its true or not.

Sean, your source for this claim is?

Avatar
Sean Nelson
Nov 22, 2017
Nelly's Security

The longse sales lady. Im trying to find my email but 100% that is what she said. The truth of it is what im uncertain about. U would figure that Hik would have the power to shut it down quickly though.

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U
Undisclosed #3
Nov 23, 2017
IPVMU Certified

The longse sales lady.

Would that be Coco, Debbie, Eva, Irene, Janey, Lily, Lisa, Lena, Lizzie, Serena, Sylvia or Yvonne?

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JH
John Honovich
Nov 23, 2017
IPVM

How could you leave out Tina?

Or Abby?

Whom evidently thinks I am Polish...

And that was just me quickly checking my inbox for recent spam emails from them.

U
Undisclosed #3
Nov 23, 2017
IPVMU Certified

They might need new space already.

UM
Undisclosed Manufacturer #8
Nov 27, 2017

They apparently also have permission from Hik to use their private protocol as well.

UD
Undisclosed Distributor #7
Nov 27, 2017

I feel like it'd just be more cheap garbage flooding the industry. I'd like to see some real innovators come through, not just people that can do approximately the same for cheaper... that's why this industry is so miserable in the first place. We don't need garbage in garbage out. We don't need Longse living here either.

UM
Undisclosed Manufacturer #4
Nov 22, 2017

It won't be long till we find a Chinese IP camera in a box of cereal...

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U
Undisclosed #3
Nov 22, 2017
IPVMU Certified
UM
Undisclosed Manufacturer #1
Nov 22, 2017

Send in 10 UPC code labels and get a coupon for free analytics.

UM
Undisclosed Manufacturer #6
Nov 24, 2017

Maybe USA office is looking for new business ventures.

JH
John Honovich
Nov 24, 2017
IPVM

If they do, neighborhood pharmacies may prove a promising target market:

U
Undisclosed #3
Nov 22, 2017
IPVMU Certified

 

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U
Undisclosed #5
Nov 23, 2017

Do they OEM to any companies in the US? 

JH
John Honovich
Nov 23, 2017
IPVM

Do they OEM to any companies in the US?

Yes, but I have heard only of a few small ones. There certainly likely others but we have yet to hear of a large US company that is OEMing Longse. That said, Longse Wants To Be Your OEM

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UM
Undisclosed Manufacturer #9
Nov 27, 2017

Longse was looking for national sales manager for their US operation.  There was a job advertisement on Craig List but can't find it anymore.  But here is link to a Chinese site that shows the same ad. http://c.ccyp.com/Content/Details/35152

They are also advertising on indeed.

https://www.indeed.com/cmp/Longse-USA-Inc./jobs/Sales-Manager-Cctv-Security-Product-2952c98e8542c5d8?q=national+sales+manager

A chance for a great career advancement for those who know how to sell cheap IP cameras by speaking Chinese (a requirement for the position).

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JH
John Honovich
Nov 27, 2017
IPVM

#9, good find!

I screencapped some of the job listing to make it easier for others to see. One interesting point inside was about directly managing 3-5 sales people, which I would guess would be US based.

That compensation range is not terribly attractive considering the high cost of living in Southern California, the 30% traveling requirement and need to manage a team.

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UM
Undisclosed Manufacturer #9
Nov 27, 2017

That compensation range is not terribly attractive considering the high cost of living in Southern California, the 30% traveling requirement and need to manage a team.

What do you expect from the manufacturer of $6 cameras?

 

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JH
John Honovich
Nov 27, 2017
IPVM

What do you expect from the manufacturer of $6 cameras?

You win...

In all seriousness, I am genuinely curious how Longse changes their pricing to support these costs. I hear a lot of "Wow, you don't know how cheap it is to make cameras in China" to which I generally respond, "But do you realize how expensive it is to sell and support those cameras in America?"

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UM
Undisclosed Manufacturer #10
Nov 28, 2017

Maybe that's the base?

JH
John Honovich
Nov 28, 2017
IPVM

It could be just the base but that would be a mistake on their part as typically sales compensation is listed at target quota (i.e., full compensation, not just base).

But I suspect the $50 - $80k is total compensation and that they are looking for someone similar to the LTS model - a native Chinese speaker who is relatively new to the US, relatively inexperienced that would find that compensation package to be attractive. 

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KW
Kelly WU
Dec 01, 2017

Actually since July, 2016, Longse already stop mass mailing to US customers, our sales person are allowed to send email only after they set up customer file for the USA customers who are indeed need our products.

In the past years, in order to expand Longse influence and promote the marketing, we sent emails to introduce new or hot products, new technologies and developments,
the assembling technology improvements, the seasons promotion information, etc, to our clients cooperated or potential.
Someone like it, and someone does not accept it. We are sorry if we disturbed you.

Actually we also feel a little sad that someone still keep the original impression to Longse when not fully know us, even we have already made some changes.

But it does not matter, we will still try every effort to become better. And we are striving to change our mode/ways to sale, committed to providing the service which is one to one, really meet customers requirement, high satisfaction to our customers!

Our strategy to set up the USA office is that: totally change our original sales mode, only have one distributor in each city or each area, in order to protect our distributor's interests and provide them more excellent service!
At the same time, we have technician in USA office, which can provide telephone service and on-site support services.

If you want to represent our products with “longse” brand, please contact our people in USA office directly(Sales.usa@longse.com) , if you need OEM products, pls feel free to contact our factory in China ( the purchase amount is at least 250 thousand USD per year, our email is info@longse.com or kelly@longse.com ) or USA office. Thanks for your understanding&support!

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U
Undisclosed #3
Dec 01, 2017
IPVMU Certified

Hi Kelly!

Would you mind briefly explaining how you see Longse in comparison to the more familiar Chinese brands (in the US), Hik and Dahua?

Specifically in regards to pricing, distribution model, channel protection, warranty and support etc.

Thanks!

JH
John Honovich
Dec 01, 2017
IPVM

Actually since July, 2016, Longse already stop mass mailing to US customers, our sales person are allowed to send email only after they set up customer file for the USA customers who are indeed need our products. [emphasis added]

Kelly, how are you determining who 'needs' your products? And are you getting permission form these people first? Or does Longse just start bombarding people with emails who they think needs your products?

And a lot of your emails are still not providing any way to opt-out, e.g., this one from the summer from Jake:

Kelly, here's the deal. Longse does not take this seriously enough and you are going to find, painfully, that building a legitimate brand with those types of actions is very hard.

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U
Undisclosed #3
Dec 01, 2017
IPVMU Certified

Kelly, how are you determining who 'needs' your products?

Good catch.  Does that mean they used to spam everyone regardless of any connection to security systems?

Avatar
Max Shumeyko
Dec 04, 2017

I guess they searched for all websites for CCTV or security keywords. And then spam them all. 

As for Unsubscribe link, I added a filter to my email client  "Move message to trash" for Longse and for about 50 other Chinese companies who used similar spamming approach without adding Unsubscribe link: Cantonk, Lonrun, Anyvision, Amovision, qihan  ...

 

 

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UM
Undisclosed Manufacturer #1
Dec 04, 2017

Maybe start an IPVM article with a comprehensive list the community contributes to for domain names and IP addresses of spamming security manufacturers....  :)

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JH
John Honovich
Dec 08, 2017
IPVM

Kelly,

It's happening again - more Longse spam:

And again:

 

Kelly, stop spinning us. Maybe in China, not having credibility is fine but it is a big problem in America.

Note: acesee.cn (the domain the spam is being sent from) is registered to Jim, the owner of Longse.

If you'd like to let Jim know that you don't appreciate being spammed, his email is qsj@qq.com

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U
Undisclosed #3
Dec 08, 2017
IPVMU Certified

If you'd like to let Jim know that you don't appreciate being spammed, his email is qsj@qq.com

Sent. I just gave him a piece of your mind ;)

UM
Undisclosed Manufacturer #6
Dec 13, 2017

Seems there is an active group who will report domains and service providers aiding in use of Spam! how effective I'm not sure, but maybe if their email is blocked around the globe they might change their spam policy.

https://www.spamcop.net/anonsignup.shtml

 

JH
John Honovich
Dec 25, 2017
IPVM

More Longse spam - Christmas edition:

JH
John Honovich
Jan 25, 2018
IPVM

More Longse spam, this time they sent it to "email?@ipvm.com":

If Longse had any shame, they would be embarrassed. Kelly, anything to say here?

 

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UM
Undisclosed Manufacturer #1
Jan 25, 2018

Kelly, "So shall I put you down for 100 cameras, or 200?"

JH
John Honovich
Feb 06, 2018
IPVM

And more Longse spam, this time using Hikvision:

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JH
John Honovich
Mar 01, 2018
IPVM

Tim's back again this time emailing 'email@ipvm.com' an address we never use or publish. Now, he is sending us photos of himself:

This is absurd.

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UM
Undisclosed Manufacturer #1
Mar 01, 2018

Are you going to initiate legal action against their USA office?

JH
John Honovich
Mar 01, 2018
IPVM

We could send them a cease and desist though I am not sure what that will amount to.

Exposing their continued unethical practices is probably the most effective thing we could do.

U
Undisclosed #3
Mar 01, 2018
IPVMU Certified

We could send them a cease and desist though I am not sure what that will amount to.

Or maybe something to do with child labor laws...

UM
Undisclosed Manufacturer #6
Dec 04, 2017

I don't know if it is effective but  Federal Trade Commission has a Spam reporting address. https://www.ftccomplaintassistant.gov/GettingStarted?NextQID=280&Url=%23%26panel1-5#crnt     

spam@uce.gov As to what effect this would give is unknown, but now they enter the USA they will have to answer for their actions. (possibly!)

 

JH
John Honovich
Jul 24, 2018
IPVM

Update: Longse has hired Daniel Mik, who previously worked at Eastern CCTV, to be their USA sales manager.