Not mentioned is the fact that Hills will be competing with Tyco...

Not mentioned is the fact that Hills will be competing with Tyco itself for any lucrative jobs, seeing as Tyco has an installation division as well (ADT).
(Leaving Hills with the low end or domestic as the real exclusive....)
Therefore if Hills spend lots of time and money getting the Tyco equipment specified, there is the risk that ADT will get the contract and Hills will miss out.
For instance Hills spends time and money showing the Westfield people all the high end equipment and it gets specified for all their shopping centres.
Hills customers must now compete with ADT for the job, but ADT has a cost advantage.
Time and money has now been wasted if ADT get the job.

Crestron has such unique features, in a lot of cases consultants and architects will specify it because it is the only product that they are familiar with that will do the job. It almost sells itself.