Hikvision Wants Big Slice of North American Pie

Hikvision USA President Jeffrey He explains the video surveillance company’s plans to service security systems integrators and more in this Q&A.

Hikvision, the China-based provider of video surveillance wares, continues to make headway in its efforts to become an established brand in the North American security market. With an estimated market capitalization of $5.6 billion, the company is investing heavily to build the necessary infrastructure to become a market leader here. Jeffrey He, president, Hikvision USA, joins the conversation to discuss the company’s work.

How is Hikvision able to service its integrator clients in the United States?

As our customer base grows all across North America, we strive to provide industry-leading support and foster long-lasting partnerships. We continually work with customers to identify their needs and provide solutions that support their success. In the U.S. and Canada, Hikvision has committed to supporting the market via expanding into channels that demand our technology and innovation. 

We constantly solicit feedback from dealers and integrators in order to ensure that we’re meeting their needs in this ever-evolving marketplace. For example, our Dealer Partner Program offers dealers the opportunity to gain relationship-based benefits such as specialized training, support, and pricing discounts.

We have a growing sales and engineering force on the ground in all regions of North America committed to assisting our customers. We also have a technical support team, based out of our U.S. headquarters in City of Industry, Calif., that is among the best in the industry. They regularly collaborate with our eyes and ears in the field to ensure that our support is proactive and responsive. Additionally, we provide specific resources, design tools and project expertise to the A&E community and several other key channels that will need support as the ecosystem of IP cameras becomes ubiquitous.

Describe Hikvision’s R&D efforts and how much the company reinvests into R&D annually.

From its inception in 2001, Hikvision has played an active role in the evolving video surveillance market, devoting over 7% of its annual revenue into research and development for continued product innovation. In 2013, the R&D investment stood at over $130 million. Today our global staff is comprised of more than 11,000 individuals, with more than 4,000 involved directly in R&D. So obviously, a firm commitment to research and development has always been a key element of our advancement.

This significant R&D investment, coupled with a thorough understanding of the industry, has put the company at the forefront of technology leadership in the global security market, with over 600 patents and more than 250 copyrighted software applications. Our R&D focus is demonstrated by the company’s role as a pioneering developer and promoter of H.264 compression for video surveillance. We also developed one of the first embedded Netra DVR/NVR series based on Texas Instruments’ Netra platform.

We believe product quality begins with design. Over 350 members of our engineering team are devoted to meticulous product testing, including software, hardware, and reliability tests, which play a crucial role in development. And since 2009, the company has utilized Capability Maturity Model Integration (CMMI) to greatly improve R&D process management. This certification is administered by the Software Engineering Institute at Carnegie Mellon University right here in the U.S.

What have been the most challenging aspects of gaining market recognition in the United States?

In the U.S., we see the massive proliferation of IP cameras in the market, coupled with a growing demand for cloud storage and VSaaS , so we focus on the immense opportunity to upgrade existing cameras, storage and related equipment.

Hikvision has traditionally competed in the U.S. by supplying white label cameras for security companies. Our competition in the branded market is very established, but we recognize that therein lie opportunities for us to elevate our brand, demonstrating our technological innovations and market responsiveness, and leveraging our global industry leadership. Particularly, we’re looking at the mid-tier market, which is crowded, fragmented, and lacks a clear leader. We believe we can be that leader.

In addition to building close partnerships with local distributors and system integrators, we have strategically collaborated with the world’s leading companies in specialized sectors. As Hikvision and Texas Instruments work together in a joint product development laboratory.  Western Digital and Seagate count Hikvision as a key strategic partner in the video storage field, and we’ve teamed up with Ambarella for video compression solutions.

If you enjoyed this article and want to receive more valuable industry content like this, click here to sign up for our FREE digital newsletters!

About the Author

Contact:

Although Bosch’s name is quite familiar to those in the security industry, his previous experience has been in daily newspaper journalism. Prior to joining SECURITY SALES & INTEGRATION in 2006, he spent 15 years with the Los Angeles Times, where he performed a wide assortment of editorial responsibilities, including feature and metro department assignments as well as content producing for latimes.com. Bosch is a graduate of California State University, Fresno with a degree in Mass Communication & Journalism. In 2007, he successfully completed the National Burglar and Fire Alarm Association’s National Training School coursework to become a Certified Level I Alarm Technician.

Security Is Our Business, Too

For professionals who recommend, buy and install all types of electronic security equipment, a free subscription to Commercial Integrator + Security Sales & Integration is like having a consultant on call. You’ll find an ideal balance of technology and business coverage, with installation tips and techniques for products and updates on how to add to your bottom line.

A FREE subscription to the top resource for security and integration industry will prove to be invaluable.

Subscribe Today!

Get Our Newsletters