HomeNewsIT Asset Disposition (ITAD): everything you need to know!
April 07, 2025
IT Asset Disposition (ITAD): everything you need to know!
IT Asset Disposition
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As a business, you often find yourself with a mountain of obsolete IT equipment. Think old laptops, servers or smartphones that no longer meet current requirements. Just throwing them away is not an option, not for your data, for the environment, and certainly not for your wallet.
But what do you do with it? The answer: IT Asset Disposition, or ITAD for short. In this blog, we explain what ITAD is, why it is important and how to do it properly.
ITAD stands for IT Asset Disposition, an umbrella term for all processes surrounding the safe and responsible disposal of old IT equipment. Examples include:
The aim is to securely erase sensitive data, reuse parts where possible, and dispose of the rest in an environmentally friendly way. ITAD is thus more than just recycling: it is about security, sustainability and value restoration.
How does ITAD differ from recycling?
Although recycling is part of ITAD, it is not the same thing. In recycling, appliances are taken apart and processed into new raw materials. This is important, especially with non-reusable hardware.
But ITAD services go further:
Data is erased or destroyed
Hardware is tested for reuse
Devices are given a second life
Residual value is recovered
Recycling is thus a final step when reuse is no longer possible. A good ITAD process always looks first at whether equipment can be reused. This is often more sustainable and cheaper.
Why is IT Asset Disposition important?
There are several reasons why ITAD is an indispensable part of a modern IT strategy:
1. Data security
Retired hardware often contains confidential data. Think customer records, financial information, and emails. A reputable ITAD partner provides certified data sanitisation, typically using industry-standard tools, like Blancco, to erase data. Where reuse isn’t required or erasure isn’t feasible, they can perform physical destruction through shredding. For magnetic media, like HDDs, ITAD providers may also use degaussing to decommission HDD fleets on mass.
No matter what data erasure method is used a good ITAD partner maintains a chain of custody and issues certificates of erasure and/or destruction.
2. Laws and regulations
GDPR compliance is mandatory when handling personal data, including during hardware and e-waste disposal. Certified ITAD providers deliver high-quality services that comply with GDPR and e-waste destruction regulations, and issue audit-ready reports after destruction.
3. Environment and sustainability
Discarded IT equipment can contain harmful heavy metals, like lead, mercury and cadmium. These substances can harm human health and the environment if mishandled. That is why it is so important to work with a certified ITAD partner that processes e-waste correctly and keeps materials in the circular economy through controlled reuse, repair and responsible recycling.
The ITAD market has evolved into a fast‑growing global industry, driven by rising data‑security demands, stricter compliance requirements and the increasing volume of end‑of‑life IT equipment. More organisations now outsource secure data wiping, refurbishment and compliant recycling, accelerating the sector’s professionalisation.
Market research valued the global ITAD industry at $14.6 billion in 2020, with growth expected to reach $24.5 billion by 2026. Although the pandemic temporarily slowed activity due to supply‑chain disruption, long‑term demand continues to rise as businesses prioritise GDPR compliance, ESG performance and circular IT strategies.
What are the benefits of ITAD?
Want to know the impact of reuse or circular IT solutions within your organisation? Circular IT group offers a handy sustainability calculator providing you with quick insight into potential savings in terms of CO₂ emissions, e-waste, and energy consumption. So you can see exactly what extending the lifespan of IT hardware can achieve.
What does the ITAD process look like?
The ITAD process usually consists of the following steps:
Inventory of hardware
Which devices are depreciated or obsolete?
Collection or disposal
The hardware is safely collected, often with trackable transport.
Data destruction
All storage media are erased or destroyed. For example, with certified software or physical shredders.
Testing and evaluation
Equipment is checked for operation and reuse potential.
Reusable items are refurbished
Think upgrades, minor repairs for sale and/or donation.
Recycling of non-reusable parts
In an environmentally friendly way, at certified partners.
Reporting and certificates
You receive documentation of what happened to your hardware, which is important for your internal administration or compliance.
Circular IT group carries out this process worldwide for both medium-sized and large organisations, always with attention to data, environment, and transparency.
What hardware can be sold?
IT companies, such as Circular IT group, buy used business devices. Before selling, they ensure the hardware is complete and functioning properly. Devices that can be sold include:
No, ITAD isn’t legally mandatory, but using a certified provider is the most reliable way to meet GDPR data erasure requirements and WEEE-compliant e-waste disposal, with audit-ready proof.
Yes, some organisations choose to donate hardware or the hardware’s residual value to charity. This can be part of your corporate social responsibility (CSR).
This varies by organisation and the amount of equipment. Small processes can be completed within a few days, larger projects often take several weeks, depending on inventory, logistics and processing.
Companies typically initiate the ITAD process when hardware reaches the end of its lifecycle, becomes outdated or no longer meets performance or security requirements.
Common triggers include technology upgrades, employee offboarding, security incidents, lease expirations, data‑center decommissioning, mergers or restructuring, and sustainability initiatives.
Regular inventory audits also often reveal unused or redundant devices that can be securely retired, resold or recycled.
A persona‑based Device as a Service (DaaS) model helps organisations give every user the right tools, improving productivity, reducing costs, and simplifying IT management.
Hard drive destruction: The do’s and don’ts for businesses
Simply deleting files or formatting a drive is not enough. Without following established policy and law, your business will be penalised when sensitive business data falls into the wrong hands.
