Why Buy Used? Part Two.

Posted by Joni Paulo on

Today’s reality is that used equipment is thoroughly tested prior to re-entry into the market. Used equipment from JE Components/ has a two to three per cent failure rate, which is not much more than that of new equipment. After deployment and passing an initial inspection, previously owned equipment generally proves itself within a short time frame, thereby suggesting that acceptable performance will continue. As is true with new equipment, when used equipment fails it is often the result of human error such as mishandling, not hardware failure.  In other cases, an easy fix may be to replace power supplies, drives, system boards or such.

Let’s consider another advantage of purchasing from  Have you experienced the disappointment and frustration when a perfectly good model is discontinued, and its replacement has far more bells and whistles than are necessary?  Not everyone requires the latest and greatest technology. Earlier models often offer the same performance as newer models; the bells and whistles are often unnecessary—except for leading-edge users. If you’re satisfied with your current solution, stick with what works and avoid changes to your network configuration. Used equipment is also an economical solution for additions and upgrades, test beds, corporate training, replacement parts, temporary sites and spares.

It is also important to know that a surplus market is based on supply and demand, and it’s impossible to guarantee pricing and availability. Large orders can deplete the supply of a particular part (especially “hard to find” and “end of life”) and can also drive up prices. For instance, if there is an open order for a large order of a discontinued Cisco router or an IBM server, this order can deplete surplus inventory for several months and raise the price for a period.   Unlike, traditional distribution of new, current-- future availability on surplus is very rarely guaranteed as another purchase order can directly impact supply.  Timing is everything and like any other commodity markets there are many variables involved.  If you have interest on a large qty, especially “hard to find” hardware that is priced right and available, a prompt decision is imperative to avoid losing out to another buyer.  The wait for the inventory to reappear on the market could adversely affect your IT planning.  On the other hand, an over abundance of inventory is also good for the buyer as the pricing will be even more competitive.

Recognizing the value and capitalizing on some if not all aspects of the secondary market can only benefit your organization.  Whether it’s buying a particular component, a portion or all of your IT equipment you’ll save money from buying at reduced pricing and eliminating maintenance contracts by having in house spares.  Selling your surplus and decommissioned IT assets correctly will provide ROI dollars that can be used for additional IT equipment or spent on other areas of your organization

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