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Circular IT: extending the life of data-centre and enterprise hardware

Servers, storage and networking gear are refreshed on aggressive cycles, often while still fully functional. Circular IT asset management turns that churn into recovered value and avoided carbon.

By the Cirveris Team04 March 20267 min read

Enterprise and data-centre hardware is typically refreshed every three to five years, frequently while still perfectly serviceable. The driver is performance and support lifecycles rather than failure — which means a large volume of working equipment leaves service each year with real residual value and substantial embodied carbon.

The IT asset disposition gap

IT asset disposition (ITAD) has long existed, but it is often treated as a security-and-disposal task rather than a value-and-carbon opportunity. Devices are wiped and sold in bulk lots, with little visibility into unit-level identity, condition or best-fit channel. Value leaks at every step.

Circular IT reframes the refresh as a recovery event. The same rigour operators apply to network decommissioning applies here: resolve each asset, sanitise data to standard, and route it to redeployment, resale, refurbishment or certified recycling based on its actual worth.

Where the discipline pays

As reporting frameworks such as the EU's CSRD and the ISSB standards push hardware lifecycle impacts into disclosed territory, unit-level asset intelligence stops being optional.

Why enterprise IT belongs in the circularity conversation

Telecom circularity and IT circularity increasingly overlap. Operators run data centres, edge compute, routers, firewalls, servers, storage, customer-premises equipment and internal enterprise hardware. The refresh cycles differ, but the problem is the same: functional assets leave service because of performance, support, security or standardisation decisions, not because the materials have no value.

Security and circularity must be designed together

Many IT assets are disposed of conservatively because data risk is real. That caution is understandable, but it should not force unnecessary destruction of reusable hardware. Certified data erasure, chain-of-custody, encrypted drive handling, component-level tracking and audit evidence allow companies to protect security while preserving asset value.

What a circular IT scorecard should include

Benefit for CIOs and sustainability teams

A strong circular IT programme turns refresh planning into a financial and environmental lever. CIOs gain better asset visibility, finance recovers value, sustainability teams get measurable outcomes, and risk teams retain the evidence they need. The organisation also learns which hardware choices age well — a useful feedback loop for future architecture decisions.

From ITAD to circular IT asset management

Traditional IT asset disposition often begins at end-of-life. Circular IT asset management begins earlier: at procurement, deployment and refresh planning. Each server, switch, firewall or storage unit should already carry the identity, configuration, ownership, data-risk and resale context needed for future recovery.

This changes the role of ITAD partners. They remain important, but they become part of a wider intelligence system rather than the place where decisions are first made. The organisation enters disposition with a view on value and risk instead of asking the market to discover it later.

The proof pack for security teams

Security teams need evidence that data has been removed and chain-of-custody preserved. A strong circular programme should produce wipe certificates, exception logs, custody records, device identifiers, storage-media handling records and downstream confirmations. The better this evidence, the easier it becomes to choose reuse over destruction without increasing risk.

References

  1. European Commission — Corporate Sustainability Reporting Directive (CSRD) — finance.ec.europa.eu
  2. IFRS — ISSB Sustainability Disclosure Standards — www.ifrs.org

This article is provided for general information and does not constitute legal, regulatory, or financial advice. Regulatory timelines and requirements should be verified against the primary sources cited.

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