The increased use of electronic devices, such as laptops, tablets and smartphones, is driving significant growth in the information technology asset disposition (ITAD) market.
This is bolstered by a rise in consumer awareness for responsible electronic waste disposal, a “massive” increase in cloud migration and an increased use of new electronic devices with a decreasing life cycle, Johannesburg-based ITAD group Xperien CEO Wale Arewa says.
The global ITAD market size is predicted by Acumen Research to be worth about R330-billion by 2026, while Verified Market Research projects that this market will more than double, from R175-billion in 2017 to R368-billion by 2025.
“Although this is helping to expand businesses globally, the growing number of information and communication technology devices, combined with the declining life cycle of information technology (IT) products, is expected to generate the need for businesses to dispose of the electronic waste (ewaste) securely,” he explains.
The International Telecommunication Union expects ewaste generation to rise to 52.2 metric tons in 2021 amid a growing trend of data migration to the cloud and the industry’s rapid advancement with the introduction of various technologies, which leads to the replacement of older IT infrastructure.
Further, data security in IT asset disposal is ever critical, necessitating guarantees that the data stored on the asset is destroyed according to industry standards and government regulations, as data breaches could result in huge losses.
Governments have also introduced legislation to ensure the harmless disposal of IT assets, which have forced companies to approach ITAD vendors instead, such as Xperien, to dispose of their IT assets in line with industry standards.
“In order to dispose of this waste in a responsible manner and also to minimise its side effects, companies are now recycling, recovering and safely disposing their electronic waste,” Arewa adds.
Further, in a move away from the traditional linear economy, there is support for a more circular economy by keeping precious resources in use for as long as possible instead of disposing of them at an early stage.
Lease options are an increasing trend for companies wanting to move away from owning products and tying up working capital, but still wanting to keep up with the latest technologies.
“Xperien enables companies to lease high-specification, refurbished laptops and personal computers at a low cost. Secure data destruction is done at the end of each lease to eliminate any concern of disposing of company data,” he explains.
The company procures used computer equipment, tests it thoroughly and refurbishes it and leases it to businesses looking for a low-cost option.
“This certified refurbished equipment is not only given a second life, but, at the end of each lease period, clients are given the option to purchase the equipment at a reduced rate to further extend the life cycle.
“Products that cannot be reused will have functional parts harvested and the waste will be responsibly recycled,” he concludes.