What is the meaning of decoding capabilities.

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I'm planning to buy 16ch hikvision DS-7616NI-K2 NVR but got confused by this " Up to 2-ch@8 MP or 4-ch@4 MP or 8-ch@1080p decoding capacity ". It have 160 Mbps incoming bandwidth. Can it record 16 (Sixteen) IP cameras @ 4 M.P each in full resolution to HDD @ H.265 HEVC compression.
 
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John Williamson

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Decoding just applies to what you can playback simultaneously on the monitor that's connected directly to the NVR. If you exceed that during playback one or more camera panes will display 'no resource'

It can record up to 16 cameras and up to 160Mbps incoming bandwidth. As long as you don't exceed 10Mbps per channel you'll be fine. It's relatively easy to burst above the maximum bit rate that you set if you select the quality as 'Highest' so it's wise to cap the bit rate a bit lower.
 
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