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Ban on Dahua and Hikvision

Dahua & Hikvision Ban

In case you hadn’t heard, the 2019 National Defense Authorization Act was recently signed into law. The whole process began in May of this year, when the US house passed the bill, and then on August 1st the Senate passed the bill. Several days later, the President made it official by signing it into law on August 13, 2018. The 2019 NDAA has a particular impact on the security industry as it bans both the purchase and use of Dahua and Hikvision and their OEMs in the US government and US government-funded contracts.

Although the Dahua and Hikvision ban will begin on August 13, 2019, the effects of this act are already being felt by Dahua and Hikvision. Stocks for both companies have dropped noticeably since the passing of the NDAA and we can expect further decline. Despite the delayed enforcement, there is no sense in purchasing and using equipment now that will soon be phased out.

Extending the ban to OEMs will eventually trickle down and impact wholesale distributors. Buyers will be concerned with potential security risks, possible issues with prospective integration with public or government systems, and future legislation at the state or local level. In addition, this will impact consumers outside of the US, as negative media coverage may make them feel wary of the security and dependability of Dahua and Hikvision products.

Only time will tell what the true implications of the 2019 NDAA will be. Share your thoughts on the ban with us on Facebook, Google+, Twitter, LinkedIn, and Pinterest.

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