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The True Cost of Hardware Upgrades

Blog: The True Cost of Hardware Upgrades

Data Center and Enterprise Hardware

Every data center manager has an incredible number of responsibilities. In addition to meeting the IT needs of everyone in the firm, running the data center 24/7, and being a good boss, the manager has the responsibility of keeping IT costs low – or as low as possible.

IT is a 24/7 job. The data center manager needs to ensure that all equipment is running well at all times because downtime is costly. First, any downtime potentially wastes human resources. Without computers, employees can’t work. Second, the price of hardware takes up a large portion of a data center budget.

The cost of everything is going up, including computer equipment. In addition, due to current supply chain issues, even finding needed assets is more difficult than it has ever been. You have options.

Considerations

Is it Needed?

First, determine if a hardware upgrade or refresh is even necessary, or something that is being dictated by an original equipment manufacturer (OEM). Of course the manufacturers want you to buy their newer equipment. It’s how they make their money, but it is not always in your best interest. Consider how well your current equipment is functioning, whether it is accurately and adequately performing its function, and how much time it has left based on observation and your experience.

If you are determined to stay with OEMs, then you have two options:

  • Renew your maintenance contract when the OEM dictates.
  • Buy the latest generation of servers to replace existing ones, again per OEM guidelines.

Both options come with extremely high premiums. The true cost of upgrades goes beyond your initial purchase.

You need to consider lost productivity. A hardware upgrade means potential downtime, which impacts staff time, the uptime of services, and has a cascading effect on other projects within the organization. It might also mean increased requests for tech support when the upgrade is implemented but not well understood.

Also consider unrealized ROI. The challenge for any IT department is to provide 24/7 support during the integration of new equipment. Migration and upgrades are complex projects that distract your team from innovating and driving revenue.

Another Alternative

In today’s world there are ways to save on hardware. You can maintain and service the assets in your data center, making them last longer and increasing the return on investment. In addition, by keeping your existing netgear you do not incur downtime. When it is time to purchase, you can buy both new and rebuilt equipment from companies that offer great service at great prices.

When the time is right, according to your timetable, for an upgrade or refresh, you have options. Pre-owned and rebuilt hardware are available at a fraction of the cost of new. Companies like Curvature sell new equipment as well as preowned, but at a savings of 65- 85% over the OEM’s price.

Contact us today to learn how much you can save on hardware procurement.

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