Crazy how Verkada was specified yet they also specify it work with their existing foundation. Guess if it all it needs is POE they can just swap the camera...
Verkada Wins $783,000 Memphis Deal
Published Apr 29, 2019 14:30 PM
The US city, most famous in video surveillance for standardizing on Hikvision, has issued an RFQ for 962 Verkada cameras due Wednesday, May 1, 2019. We estimate the value to be one million dollars.
Verkada has quickly emerged as a rising power within the video surveillance industry, with a half billion dollar valuation and the industry's fastest growing sales organization.
In this note, based on our research and our talks with others close to the project, we look at the following:
- How they got specified in the RFQ
- How Verkada fits into the city's existing ~2000-camera Hikvision system
- The original awarded RFQ was canceled
- Compatibility with the Memphis PD Real Time Crime Center (MPD RTCC) not required
- Input from the city
- Input from the winner of the original bid
- Input from former MPD officer
- Research ongoing
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Hikvision ******
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Compatibility **** *** *** **** *** ********
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*******, **** *** *******, ***** ** is *** ******** ** ** ********* by *** ******* **, **** *** need ** ** ********** **** ******** MPD ********* (**** ** ***** ** Hikvision).
** ***** * ********* ** ******* *** **** **** ******* ******* Agenda** * ******* ****** *** ************ Sentinel ******* **** **** *** ********* compatibility **** ******** *********, ** **** below:
*******, ***** ********* ************ ******** ** a ******** ******* **** *** ******* project.
Input **** *** ****** ** *** ******** ***
***** *** ****** ** *** ******* comment ** *** *** ******** *** was ******** **** *** ********.
** ***** ****, *** ******* ******* that ** *** *** * ****** contract **** *** **** ** *******.
***** **** ********* ***, *** ******* removed *** ******** *****. *******, ** screenshotted:
Input **** ****** *** **********
******* *** ************* *****, ****** ************ ** *** ****'* ******** ~2000 ********* ************ *********** *** *** ******* ******* *** not * ****** ********** *******:
****** * ******* * *** ******* knowledge ** *** *** “*******” ******* you *** ***********. ** *** * City ** ******* ******* ******** ******** project ******* ** *** ******* **** Council ** ******* ******* ** **** community ******* *** **** ********* ***. The ******* *** *** **** ** the ******* ****** ********** **********.
*******, ***** **** *** ******** **** Council ******** *** *** ******* ********** that *** *** ****** ******* ** compatible **** *** ********* ******* ** use ** *** *** ****:
*** ******* ****** ********** ****** ******* in *** ******* ***** ********, **** the **** ******* ********** ******** *** project, **** *** ******* **** ** compatible ** ******** ********* ** *** Real **** ***** ****** ** **** could ** ********* *****.
Win *** *******
**** ****, ** *********, ** * major *** *** *******, ** ***** aggressive ******-**-***-**** ********* ******** ********* ** deliver ***** ********* *******. *******, *** example, ***** **'* **** ******* ****. **** **** ** ****** **** as * ********* ******* *** ***** cities *** *** *** ******* ********* of ******* *** **** ************.
Challenges *** *******
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Research *******
** **** ****** **** ***** **** more/new *********** **** *** ** ** becomes *********.
Comments (27)
MD
Matthew Del Salto
Apr 29, 2019UM
Undisclosed Manufacturer #1
Apr 29, 2019I can sorta accept, if not understand, a private company doing this. But it almost feels like misconduct to spend a million dollars from the public purse on not just a closed system, but a system that gets bricked without continuous license fees. And none of the cameras (which you already paid for) can be reused if you decide to move away from their platform? TCO, ROI, wtf?
My dinosaur brain wonders if the Verkada business model would be viable without Silicon Valley money and influence...
MM
Mark Marzinzik
Apr 29, 2019A $1,000,000.00 worth of bricks
UD
Undisclosed Distributor #2
May 01, 2019Inside look at the Verkada Sales office over here >>>>> https://www.youtube.com/watch?v=-WJ_2ycsHl8
Hal Bennick
May 01, 2019I wonder if this portends a change in purchasing patterns more than support for Verkada. Are government agencies getting more comfortable with long-term OPEX spending as opposed to big ticket CAPEX?
CH
Corbin Hambrick
May 01, 2019My guess is that either someone on city council has some sort of link to Verkada (friend of a friend of a friend who sells cameras), plus the HIK fear and therefore Verkada got a chance to "sell" them on it and they didn't do any further research before making the decision.
U
Undisclosed #3
May 01, 2019"so what we do is we store all the video on the camera itself - up to 120 days of continuously recorded, full motion, high resolution video - without compromise - on the camera itself."
James Ensten from Verkada gets served up 10 minutes of softball questions from SIW at ISC West.
Listen to all the stuff he says they can do - and ask yourself if you believe it.
JH
John Honovich
May 01, 2019Another recent spec: Arlington VA schools 80 cameras bid April 2019, partial excerpt below:
UE
Undisclosed End User #8
Mar 16, 2021JH
John Honovich
Mar 17, 2021This is all I could find in govspend for Verkada / Arlington:
It's certainly possible I missed other records in govspend or it's not listed in govspend.
Dan Gelinas
May 01, 2019NOTE: we've added the following information to the story above:
City of Memphis General Services Director Antonio Adams confirmed the original RFQ had to be canceled because there was no term specified for the licenses.
Adams told IPVM that the new Verkada system would not replace or directly supplement the existing Hikvision surveillance system that is monitored by the Memphis PD in the RTCC:
We wanted to have an enterprise-wide solution for the city, but one which wouldn’t tax the PD. The existing system is sent to the RTCC. The new system is only for the security of patrons in and around city facilities. It’s more or less just to record activity, fact find if there is an incident and accurately determine what happened. The facility managers will be responsible for the monitoring of the new system. When there’s a notification—once we teach the system what we’re looking for, for example, an unauthorized entry—then it will give notice to the RTCC. It’s not meant for them to monitor on a regular basis.
Adams also confirmed that the Neighborhood Sentinel Program mentioned in the City Council agenda was not a precursor to the Verkada system.
UM
Undisclosed Manufacturer #4
May 02, 2019A great lesson on the power of simplicity. Even with the tremendous risk, cost and limitation Verkada presents, their simplicity offered wins projects.
As more devices become IP enabled and IT departments become responsible for managing them, simplicity will become a stronger and stronger decisive factor.
UM
Undisclosed Manufacturer #5
May 02, 2019Dan Gelinas
May 02, 2019UM#4, Verkada was specified in this project, so bidders were expected to quote Verkada. All bids were due yesterday May 1, 2019, at noon. There is no information on the website yet as to who won the contract.
JH
John Honovich
May 02, 2019As more devices become IP enabled and IT departments become responsible for managing them, simplicity will become a stronger and stronger decisive factor.
Maybe or IT departments will learn about the problems and tradeoffs of focusing so much on 'simplicity' when it comes to video surveillance systems that last for a decade.
I see parallels to Hikua here. The attraction first was the super low prices but then many people realized over time that there were offsetting negatives to factor in.
UI
Undisclosed Integrator #6
May 02, 2019I actually see parallels to Cisco also, who won many a project because the network management tools and brand name familiarity won over IT people.
Simplicity for the IT group.
Then they found the real cost of having people that didn’t do cameras for a living (techs and manufacturer).
Cost wasn’t a problem with sales from what I saw.
UM
Undisclosed Manufacturer #5
Jun 04, 2019City of Memphis issued P.O. 36286 for:
383 - Verkada D40 Indoor Mini Dome Camera with 30 day on camera video storage" 466.48/each
Dan Gelinas
Jun 05, 2019Hello, UM#5.
I noted your post yesterday and did some digging.
It appears that the city is splitting the RFQ.
The purchase order you mentioned was made out Thomas Consultants who won the original, canceled bid. It is for just the 383 D40s mentioned in RFQ 39411 at a price of $466.48 each, which is ~ 42% below Verkada MSRP. Also, the PO does not include licenses. The PO can be seen on the city site here.
At this point, I can not find anything for the other 579 D50s from RFQ 39411, nor anything that mentions the 962 licenses.
We will continue to pursue more information and welcome anyone with relevant information to post it here or email me directly at dan@ipvm.com.
UM
Undisclosed Manufacturer #5
Jun 07, 2019UM
Undisclosed Manufacturer #5
Jun 07, 2019UM
Undisclosed Manufacturer #5
Jun 07, 2019Verkada D50 Indoor Mini Dome Camera with 30 day on camera video storage
579 Qty $579.86 Each $335,738.94 Total
Total for this P.O. $605,098.94
Total for Project less any mounting accessories and install labor $783,760.78
Dan Gelinas
Jun 07, 2019Thank you, UM #5. I checked on the site and found the PO.
NOTE: We've added the following information to the story above:
Though we estimated based on historical pricing from other municipal projects, Verkada's pricing was much lower and the total for the whole project is $783,760.78
In what is certainly an atypical move, the city split the RFQ between two vendors. Thomas Consultants who won the purchase order for the 383 D40s mentioned in RFQ 39411 at a price of $466.48 each, which is ~ 42% below Verkada's old MSRP of $799. Systems Technologies, LLC was awarded the PO for the 579 D50s at $579.86 each, which is ~36% below Verkada's old MSRP of $899. Systems Technologies also won the 5-yr licenses at $280 each, which is ~47% off Verkada's old MSRP of $599.
UM
Undisclosed Manufacturer #5
Jul 11, 2019| 36455 | Verkada D50 Outdoor Dome Cameras and 5 year Command Cloud Service Per RFQ# 39411. | $775,992.38 | 07/10/2019 | THOMAS CONSULTANTS INC. | Professional, Scientific and Technical Services |
UM
Undisclosed Manufacturer #5
Aug 11, 2019FYI - $178,661 + $775,992 = $954,653 less mounting and installation.
UM
Undisclosed Manufacturer #5
Nov 19, 2019Will there be an update on this:
major win for Verkada,
UI
Undisclosed Integrator #7
Mar 16, 2021Wonder how the City feels now?
UM
Undisclosed Manufacturer #9
Mar 17, 2021