Thinking Green - Saving Money

Sustainability within the telecommunication industry takes many forms, many of which are overlooked.  The modern demand for greater and greater bandwidth is resulting, obviously, in the constant need to upgrade equipment and its capabilities.

 

The result of this is that legacy equipment, which in the past was stored in a warehouse just in case it was ever needed again, is depreciating at a phenomenal rate.  When you consider the costs associated with this obsolescent equipment, its storage and maintenance, it is clear why so many telcos are selling their legacy equipment and liquidating its asset value much earlier than before.

 

Selling this equipment and maximizing its residual value makes excellent sense in these times as opposed to holding onto it until it is only of scrap value.  No longer can old equipment simply be thrown into landfill and there are costs associated with its disposition.  Selling equipment when it still retains a good demand, and price, in the marketplace means that its value can be used to seriously offset the costs associated with its de-commissioning and removal as opposed to its storage and scrapping and the total losses associated with that path.

 

I am aware of companies who retain 200,000 square footage of warehouse space simply to store old and redundant equipment, "Just in case they ever need it again."  When we reviewed the costs associated with renting this space and the management thereof, it all began to make sense to look at alternatives as a cost-cutting venture.

 

When "Thinking Green" puts dollars back into your company it really makes sense.