Sell Dahua or Hikvision At All, Banned From Selling to US Federal Government, Says US HASC

Published Aug 29, 2018 13:44 PM

The US House Armed Services Committee (HASC) Communications Director has confirmed to IPVM that if a company sells Dahua or Hikvision at all, they will be banned from selling to the US federal government.

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However, this interpretation / implementation of the NDAA bill banning the Chinese mega-manufacturers is being contested. In this note, we review:

  • HASC's statement
  • Hikvision's lobbying efforts
  • OEM impact
  • Distribution impact
  • Dealer / integrator impact
  • Expected opposition
  • Future rules / guidelines issued

Will this be enforced when the ban officially commences next August? IPVM investigates inside.

Statement **** ** ****

*** ** ***** ***** ******** ********* is *** ********* ***** *** **** bill *** *** ********* ******* ***** and *********, ***** ******, **********.****** ******, ***** ***** ******** ********* ************** Director ********* ** **** ****:

*** *********** ** ****** ******* ** the **********. ** *** “******” ***** Hikvision / ***** ******* ** *** way ** ******, **** *** ****** from ***** ******** **** *** ******* government

Relevant *** *******

*** ****** ** **** ******* ** be ***** ** ***. *** (*)(*) of*** ***, ******* *********** *****:

***. ***. *********** ** ******* ****************** AND ***** ************ ******** ** *********.(*) Prohibition ** *** ** ***********.— (*) The **** ** ** ********* ****** may ***—(*) ***** **** * ******** (or ****** ** ***** * ********) with ** ****** **** **** *** equipment, ******, ** ******* **** **** covered ****************** ********* ** ********as * *********** ** ********* ********* ** *** ******, ** ** ******** ********** ** **** ** *** ******. [emphasis added]

******** ****** **** ********* *********** **** as ***** *** ******* **** ** the **********. *******, *** ** **** is ************ ** ** ******* **** products ** ******, ********** ** ***.

Hikvision ******** ******

********* ** ** ******* **** *** Daily ********* ****, ********* ** **** ***** and ******* ** **** ****:

*** ******* ***’* ******* ** ***** the **** ** ******** **********; ******, it ** ******** *** ** ******** statement ** ************* ****** **** *****prevent *** ****** ** ******** **** ***** ****** **** *********** ******* *** ********* ****** **** ***** ******** **** *** *.*. ********** **********. [emphasis added]

******, ******* *** ****'* *******, ********* is ********** ** ***** ******* ** lobbyists *** ***** ************ ********* *** two ***** ** ******:

****** **** ********* ******* ***** *** other ******** ***** ** *** ****** leading ** ** *** ****'* *******:

Hikvision ** *******

********* *** **** ** ****** ******* (nor ****** ************* ** *******) ***** the ***'* ******* *** ******** ** comment ** *** ** **** *********. However, ***** ***** ******* ***** ********, Hikvision ** ******* ********** ** ******** behind ****** *****.

SIA ** *******

***, *** ** ***** ************ **** on-staff *********, *** **** ** ****** comment ***** *** ***'* ******* *** declined ** ******* ** *** ** HASC *********, ************* ** *** *******, **** *** comment. *** **** **** **** ***** a ****** ********* ** **** ***** in *** ******.

OEM ****** ***********

*** ****** ** **** ********** ****-********* like *** (**********) *** ********* ***** potentially ** **** ******. ** ** hard *** ****-**** **** ** ******* drop ******* ***** ******* ***** **** and *************.

********, ***** **** ***** ***** ** obligated ** ***** *** ********** ** OEMed ******** **** *** ** **** did **, **** ** ***** ********** customers *** **** **** ***** ** Hikvision ********** ********, **** ***** **** be ****** *** ********** ***.

** *** ***** ****, *** ************* risks ***** ********* ****** ***** **** this ***** ********** *** ******** **** the *** *****.

Distribution ******

************ ****** ** ****** ** ** more *******, ******** *** *** *******, etc., ** **** *****, ** *** sell ** *** *****, ***** ********* not ** ******** ******* **** ***** dealer ********* ***** **** ** *** US ******* **********.

********** ****** ********* (**** *&* *****) could ** ******** ** **** ** regularly **** ** *** *****. ******, theoretically, *** ***** ** ****** ** would ** ********** ****** *** *********** inconsequential ** **** ******* *** ***** or *********.

Dealer / ********** ******

**** ***** ** ***-**** *********** ***** avoid **** ******, ** *** *********** who ** *********** ********** **** ***** avoid ***** ****** ***** **** ******* who **** **** **** ***** ** smaller ***-********** ******* ******.

*** ****** *********** (*.*., *** / Tyco *** ***) *** *** **** likely ** ** ******** ** **** as ***** ********* **** ** *** a ***** ** ******** **** *******, price-sensitive ********* *** ******* ** ***** and ********* ***** ** *** **** time ******* ****** ** ******* ********.

******* *** ***** **** **** *** be ******** ** * *** ** selling ** *** ******* ********** *** also ************* **** *** ***** *** federal ********** **.

*** *** ******* ***** *** **** to *** ******** ** *** ***, but **** ************* **** *** ***** Guard (***** ** *** *****), *** *******'* ******** ** ** office (***** *** *** ** ************* ** ******** *******), ** *** ****** **** ** the *********** *********** (***** ********** ** *** ******* **********.)

Potential **** ******* ******

*** ********'* ******* ************** ** ****, to ****, ** **** *** *** only ******* **** ** **** ** the ** ********** (***/** ********** ******, critical **************, ***.).

*** ** **** *********** ***** * far ******* *** ******* ****** - effectively ********* **** ** ****** ******* selling ***** *** ********* ** *** vs ***** ******** **** *** ** government. **** **** ******, **** *********** who ***** **** ************ ** *********** sell ***** ******** *** ****** ** forgo **** ** ***.

***** ** **** * *********** **** that *** ******* *** ******* ** state *** ***** ***********. **** ** already *********: *** **** ** ******* in ******** ****** *** ** ***** and ********* ********* **** ***** *** NDAA's ******* (***** ** **** **** *********).

Expect **** **********

** ****** ************* **** ********** **** the ******** ** ****, ********** **** the ******* ******* ** *** ******** who **** ** ******** ***** **** businesses ** ****** ***** **** *** US ********** *** ***** *****-********* *********. Moreover, ** ****** ********** **** *** private ****** *** **** **** ** an ********* ** *** ** ********** into **** *** ** **** / offered ** ******* **********.

Rule / ********** ****** ******

** **** *****, ** ****** ****** rules ** ********** ** ** ****** by ******** ** ********** ******** ***** how *** *** ** ***** ***********. When **** ******* ** *******. ***** then, ** ***** ****** *********** ******** and ****** ***** *** *** *** should ** ***********.

Poll / ****

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