Issues & Trends

FOCUS AI Signs Agreement with DeepX for Mass Production of AI Servers Based on Domestically Developed NPUs

Plans to Accelerate the Localization of AI in the Security Video Sector

Kwon Oh Seok
2026-10-30 10:51:05
[Edaily Reporter Kwon Oh Seok ] FOCUS HNS(331380)announced on the 30th that it has partnered with DeepX, a company specializing in ultra-low-power artificial intelligence (AI) semiconductors, to begin mass production of its own NPU-based AI servers.
(Photo courtesy of FOCUS AI)

This collaboration between the two companies goes beyond a simple Memorandum of Understanding (MOU) for mutual cooperation; it is a concrete contract for the mass production phase that clearly defines detailed implementation plans, including algorithm porting and verification, system integration, chip procurement for mass production, and field validation. Based on this agreement, FOCUS AI plans to launch its first AI server product line in January.
The AI server developed by FOCUS AI is an “edge” device that performs complex AI computations—which are difficult for conventional cameras to handle—directly on-site. They will be released in two forms: an “integrated” model that combines an AI box with a network video recorder (NVR), and a “standalone” model that can be added to existing NVR environments. A key feature is the ability to immediately apply advanced video analysis technologies—such as fire detection, fall detection, and crowd density monitoring—without replacing existing CCTV systems.
Under the agreement, FOCUS AI will be solely responsible for the hardware design and manufacturing of the AI server and will optimize its proprietary video analysis algorithms for DeepX’s NPU operating environment. DeepX will verify the stable operation of the optimized algorithms while providing integration support and supplying chips for mass production. The two companies plan to expand their market reach through pilot projects at public institutions and industrial sites.
The product lineup will gradually expand, starting with models designed for small-scale business premises. Key AI algorithms in high demand—including object recognition, people counting, safety monitoring such as fall and fire detection, and crowd density analysis—will be pre-installed.
Currently, the domestic AI box market is dominated by Chinese products, and overseas NPU-based products have also been criticized for supply chain instability. In contrast, demand for domestically produced equipment is rising sharply, particularly in the security and public sectors. FOCUS AI’s strategy is to address this gap with an AI server that has been fully localized—from the NPU to hardware design and algorithms.
The DeepX NPU installed in the server is an ultra-low-power on-device AI semiconductor manufactured using SamsungElectronics’ 5-nanometer (nm) process. It performs AI inference at an extremely low power consumption level of 1–5 W, making it optimized for video security equipment that requires continuous operation. Since beginning mass production in August 2025, DeepX has secured a total of 90 commercial purchase orders (POs) worth approximately $15.26 million (about 21 billion won) from over 10 countries worldwide, and plans to strengthen its penetration of the video analytics market through this partnership.
FOCUS AI identified a gap in the market: a lack of reasonably priced, off-the-shelf products targeting small and medium-sized businesses. Beyond large-scale facilities that rely on expensive combinations of PC servers and graphics processing units (GPUs), the company’s primary target is small and medium-sized businesses seeking to adopt AI systems while reducing cost burdens. It positions cost savings achieved through in-house design and rapid after-sales service (AS) supported by domestically developed NPU technology as key differentiators.
The company plans to sequentially obtain key security and safety certifications required for supplying products to public institutions and industrial sites, thereby enhancing its competitiveness in securing orders. Koo Hyung-mo, CEO of FOCUS AI, explained, “By integrating our proprietary hardware and algorithms onto a proven domestic NPU, we will begin full-scale supply of domestically produced AI servers starting in December.”

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