IT Asset Disposition (ITAD) Market – Snapshot

ITAD is a procedure for the safe disposal of IT assets of an organization. ITAD comprises several processes, including data sanitization/data destruction, recovery, and recycling. Companies increasingly demand the resale and remarketing of used equipment in order to reap the maximum possible RoI. The global ITAD market is anticipated to expand with the rising demand for used/refurbished IT equipment and increasing data security concerns across the globe.

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global it asset disposition itad market

The global ITAD market is expected to expand at a CAGR of 7.3% during the forecast period 2019 to 2027. The market is expected to reach US$ 23,184.9 Mn by 2027. Data breaches result in monetary losses. When an IT asset is set out for disposal, it is essential for the company to ensure that the data stored in the asset is either migrated or destroyed. The rising trend of migration of data to the cloud is leading to replacement of older IT infrastructure. This is expected to drive the ITAD market significantly. Furthermore, governments around the globe are concentrating on resolving the environmental issues that are arising from e-waste, thus resulting in introduction of several rules and regulations regarding the safe disposal of IT assets.These rules and regulations are compelling companies to approach ITAD vendors in order to dispose their assets as per the industry standards. All these factors are expected to drive the global ITAD market.

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The global ITAD market has been segmented based on asset type, service, enterprise size, and end-use industry. On the basis of asset type, the market has been segmented into computers/laptops, mobile devices, peripherals, storages, servers, and others. Based on service, the ITAD market has been bifurcated into data sanitization/destruction, recycling, remarketing, asset recovery, and reverse logistics. In terms of enterprise size, the market has been classified into small enterprises, medium enterprises, and large enterprises. On the basis of end-use industry, the market has been classified into BFSI, Telecom & IT, government & public, aerospace & defense, energy & utilities, healthcare, media & entertainment, data centers, and others. Revenue data is estimated for all the above mentioned segments.

The ITAD market is also bifurcated on the basis of regions into North America, Europe, South America, Middle East &Africa, and Asia Pacific. In terms of region, the market in Asia Pacific is expected to expand at the fastest rate at a CAGR of around 8.7% during the forecast period 2019-2027. Rising number of companies providing mobile devices to their employees for internal communication is expected to boost the ITAD market significantly. For instance, according to the report titled- “The Mobile Economy 2017,” published by Global System for Mobile Communications (GSMA), approximately 75% of mobile connections in developed regions are from smartphones. Furthermore, according to GSMA, the total number of smartphone users in Europe was approximately 296 million in 2016 and a steady growth is expected in the coming years, thus positively impacting the growth of the ITAD market.

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Furthermore, organizations demand that ITAD service provides be regionally certified. These certifications include eSteward and Responsible Recycling (R2). ITAD service providers are focused on attaining the highest levels of certification in order to establish themselves in the market. The companies arealso investing in emerging markets in order to expand their operations at a global scale.

Key service providers of ITAD services include Apto Solutions, Arrow Electronics, Inc., Dell, Inc., EOL IT Services, Exit Technologies, Gigacycle, GreenTekReman Pvt. Ltd., HP Ltd., ICEX Ltd., Ingram Micro, Inc. (Formerly CloudBlue), Iron Mountain, Inc., ITRenew, Inc., LifeSpan International, Inc., Maxicom Network, Inc., MultiTek, LLC., Sims Recycling Solutions, Inc., TBS Industries, TES-AMM Pte Ltd. (Formerly Dataserv Group), The Centrics Group, and Wisetek.

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