Woofun AI reports that Hikvision has issued a formal price adjustment notice to its distribution network, mandating an increase in hard drive product pricing effective July 1. This move follows an initial round of price adjustments for other Hikvision products targeting the distributor channel prior to the July deadline. The company advises distributors to secure orders and lock in pricing immediately to mitigate exposure to volatile supply conditions.

Insiders attribute the primary driver to the persistent crowding-out effect resulting from explosive growth in AI demand, which has significantly escalated hard drive procurement costs. Data indicates that Q3 hard drive cost quotes from OEMs have risen by more than 50% compared to Q2. Given current market dynamics, further price escalations remain likely in the near term.