diff --git a/src/projectInitializer.ts b/src/projectInitializer.ts
index 10999a7f..a8b32429 100755
--- a/src/projectInitializer.ts
+++ b/src/projectInitializer.ts
@@ -60,12 +60,11 @@ export class ProjectInitializer {
           const scaffoldType = ScaffoldType.Local;
 
           // Step 1: Get project name
-          const projectPath = await this.generateProjectFolder(scaffoldType);
+          const projectPath =
+              await this.generateProjectFolder(telemetryContext, scaffoldType);
           if (!projectPath) {
             throw new CancelOperationError(
                 `Project initialization cancelled: Project name input cancelled.`);
-          } else {
-            telemetryContext.properties.projectPath = projectPath;
           }
 
           // Step 2: Select platform
@@ -178,8 +177,9 @@ export class ProjectInitializer {
     return templateSelection;
   }
 
-  private async generateProjectFolder(scaffoldType: ScaffoldType):
-      Promise<string|undefined> {
+  private async generateProjectFolder(
+      telemetryContext: TelemetryContext,
+      scaffoldType: ScaffoldType): Promise<string|undefined> {
     // Get default workbench path.
     const settings = await IoTWorkbenchSettings.getInstance();
     const workbench = settings.getWorkbenchPath();
@@ -223,6 +223,10 @@ export class ProjectInitializer {
         }
       }
     });
+    if (projectName) {
+      const projectNameMd5 = utils.getHashFromString(projectName);
+      telemetryContext.properties.projectName = projectNameMd5;
+    }
 
     const projectPath =
         projectName ? path.join(projectRootPath, projectName) : undefined;
diff --git a/src/utils.ts b/src/utils.ts
index d532cc22..e58f7a7e 100755
--- a/src/utils.ts
+++ b/src/utils.ts
@@ -2,6 +2,7 @@
 // Licensed under the MIT License.
 
 import * as cp from 'child_process';
+import * as crypto from 'crypto';
 import * as fs from 'fs-plus';
 import * as path from 'path';
 import * as vscode from 'vscode';
@@ -890,4 +891,17 @@ export function shouldShowLandingPage(context: vscode.ExtensionContext):
     boolean {
   const hasPopUp = context.globalState.get<boolean>(ConfigKey.hasPopUp, false);
   return !hasPopUp;
+}
+
+/**
+ * Hash a string and get hash value.
+ * @param stringToHash string to hash
+ * @param algorithm hash algorithm
+ */
+export function getHashFromString(
+    stringToHash: string, algorithm = 'md5'): string {
+  const hash = crypto.createHash(algorithm);
+  hash.update(stringToHash);
+  const hashValue = hash.digest('hex');
+  return hashValue;
 }
\ No newline at end of file