CAPE TOWN - By the year 2020, the global eWaste management market is expected to grow to $49.4 billion. (R651 billion)
It is said to be the fastest growing waste streams with the reduced life span of electronic, electrical and consumer electronic devices.
According to a statement by IT Public Relations, "Research shows that the generation of eWaste is the highest in the IT sector followed by the Banking, Financial Services, and Insurance (BFSI) sector."
They also stated that the unsuitable disposal of electronic devices has an adverse effect on the environment and eventually, there are now various regulations that are being enforced upon organisations for suitable recycling of electronic assets.
It is now a requirement for organisations to reduce their power consumption from server equipment, therefore they need to replace their existing infrastructure.
With the changing within the IT landscape and the acceptance of cloud computing mounting eWaste has become a huge problem.
As a result of this, companies are starting to adopt IT Asset Disposition (ITAD) to manage the disposal of eWaste and by doing this it minimises the risk of data loss.
The niche for the ITAD market is growing rapidly by offering data destruction, recycling, reverse logistics and recovery.
This market in 2015 was valued at US$10 billion and is expected to double by 2022 and strict government regulations to minimise the possibilities that environmental hazards create due to eWaste, are expected to drive this market.
Xperien CEO, Wale Arewa said reducing the lifespan of IT equipment and the high adoption of cloud services is what increases the dependence on ITAD.
"As cloud computing continues to grow, it will shorten the lifespan of IT assets thereby triggering a considerable demand for ITAD services."
The ITAD market has also managed to penetrate various industries due to an immense number of standard regulatory compliances and also the increasing focus on environmental safety.
The performance and characteristics of ITAD, however, still depends largely on the services offered.
Arewa said that the major restraint for the ITAD market growth is the lack of awareness.
"IT assets require appropriate processes and procedures for their disposal after the completion of their life cycle. ITAD service providers simplify the overall IT asset lifecycle process. Although IT asset disposal is time-consuming, it is highly crucial for businesses that have heavy IT infrastructure."
"For the proper disposal of IT assets, awareness of the regulations and environmental concerns for using ITAD services are essential. Many organisations do not assign any special budget for asset disposition and as a result, the asset may get disposed of in an improper way, thus affecting the environment," he explains," Arewa explained.
Manufacturers are one of the most dynamic industries worldwide and are always developing more energy efficient products that are appealing to changing the changing requirements of the industry.
it still, however, is a major concern for businesses to dispose of their existing infrastructure.
The ITAD market is to a great extent driven by the rising electronics industry worldwide.
Tablets and smartphones are rapidly growing, this due to the growing demand for mobility and BYOD as an increasing number of employees starts using mobile devices for work purposes.
- BUSINESS REPORT ONLINE