Insuring that decommissioned PCs do not carry data at their disposition phase is a primary concern for IT Managers and those overseeing compliance in US organizations. For many executives, the solution comes through the use of outside professionals to handle asset retirement properly. Whether outside help comes from ITAD professionals, IT solutions providers, PC OEMs or leasing/financing firms, there is a sense that additional due diligence is performed by these outside providers. However, there is also a sense that a lack of transparency is preventing the establishment of proper budgeting and planning within user companies. Among the most volatile aspects of ITAD is the actual cost of performing data cleansing. The issue of pricing is compounded by the fact that many assets end up moving into the secondary market, further clouding the issue of the real cost.
In this paper we argue that despite putting data security in the forefront of their concerns, decision makers remain reluctant to earmark sufficient funds for data erasure services. In doing so, they put their company’s finances and image at risk. But we also argue that part of the problem is lack of understanding of the general economics of data security preventing proper budgeting. This is indeed a key challenge for the ITAD industry that must convince its customers to pay for proper data security procedures. As a result, this situation puts severe limitations to the value of the addressable market.
In this paper we also make a first attempt to size the current market of PC data erasure. We assume an average of $7 per device, although an industry poll we conducted this month provided a wide range of prices going from $4 to nearly $20 depending on erasure methods. Triangulating with a variety of survey data and the current installed base figures, we reached a number of conclusions about the value of the data cleansing market at the ITAD level. We also make a number of assumptions on where the market is headed going forward and why we think the value of the addressable market will most likely grow.
Price: US$1,000
Contents:
The Issues and Our Opinion
Data Security in ITAD Phase in the Enterprise
Data Cleansing of Retired PCs: Keys Issues
1. Use of Improper Disposition Routes
2. Sub-Standard Practices among “the Good” Organizations: Limited Tracking and Oversight
3. Reluctance to Pay for Data Cleansing Services, Shifting Responsibility Elsewhere
4. ITAD Sector Lack of Transparency
Addressable Market for PC Client EOL Data Cleansing Services: Approximate Assessment for the Enterprise Sector
1. Estimating the Installed Base of PC Clients in the United States
2. Estimated Distribution of the Commercial Installed Base of PC Clients
3. Installed Base Subject to Data Cleansing Services at EOL
4. Market Value Potential
Outlook: Expect a Rise in Cost and in the Volumes to be Treated
Price: US$1,000