IT asset disposition (ITAD) is a business involving disposing of unwanted or obsolete equipment in a safe as well as ecologically responsible way. ITAD vendors are specialists in the procedure of streamlining the disposition of IT assets, by the maximization of recouping of losses and minimization of costs. Big enterprises having worn out, outdated equipment regularly make decisions related to reselling or refurbishing and disposing of or recycling business equipment. A number of ongoing changes in technology have resulted in a reduced lifespan of IT equipment. This is why companies need to upgrade their equipment in order to remain competitive in the market, resulting in a high number of discarded IT assets globally. This is the prime factor fuelling the market for IT asset disposition.
Increasing Demand for Used Electronic Equipment from Small-scale Enterprises to Boost ITAD Market
The Global IT Asset Disposition Market market was valued at US$9.9 bn in 2015 and is predicted to reach US$18.2 bn by 2024. The market is anticipated to rise at a 7.10% CAGR from 2016 to 2024. The rising demand for used mobile devices, electronic equipment, and computers from a number of small-scale enterprises, individual customers, and educational institutions owing to the low prices of secondhand equipment is also a prime factor stimulating the growth of the market for IT asset disposition. Furthermore, ITAD service providers are on the lookout for expansion opportunities globally and therefore have entered into numerous partnerships for the execution of IT asset disposal accurately. The increasing automation in ITAD helps enterprises in keeping a record on each and every asset and also helps asset managers in planning strategies for asset disposition. This is also a major factor augmenting the growth of the market for IT asset disposition.
Computers/Laptops Held Largest Share in 2015
In terms of asset type, the market for IT asset disposition is segmented into mobile devices, computers/laptops, storage devices, peripherals, and servers. Amongst these asset types, the segment of computers/laptops led the market in 2015 with a share of approximately 30%. This is because computers form a large part of the refurbishing and recycling of IT equipment. In terms of end use, the market is segmented into telecom and IT, BFSI, education, energy and utilities, government, healthcare, aerospace, media and entertainment, manufacturing, and others. Amongst these, the segment of telecom and IT held the largest share of approximately 42% in the market in 2015.
Asia Pacific IT Asset Disposition Market to Lead from 2016 to 2024
On the basis of geography, the market for IT asset disposition is segmented into Europe, North America, the Middle East and Africa (MEA), Asia Pacific, Latin America, and Rest of the World (RoW). Amongst these, the region of Asia Pacific is predicted to experience the swiftest growth between 2016 and 2024. MEA and Latin America are poised to follow the region of Asia Pacific in the forecast horizon.
The prime service providers in the market for IT asset disposition are ITRenew Inc., TBS Industries, Arrow Electronics, Inc., Sims Recycling Ltd., CloudBlue Technologies, Inc., Dataserv Group, Iron Mountain Incorporated, Apto Solutions, Inc., LifeSpan International, Inc., TES-AMM Pte Ltd., Hewlett-Packard Enterprise Development LP, and Dell, Inc., among others.