About 810 million used devices are set to enter the market across the globe in 2020 following 5G smartphone upgrade, according to an exclusive global consumer research by Blancco Technology Group.
The study by Blancco, the industry standard in data erasure and mobile device diagnostics, titled: ‘5G Smartphone Upgrades and the Secondary Device Deluge’ found that 68 per cent of the 5, 000 global consumers surveyed would be willing to trade-in their used device at the point of 5G upgrade.
However, it also states that the collection of 810 million devices would be difficult as a result of the relative infancy of the secondary device market globally. Even if half this number is collected, it would still represent nearly double the amount of used devices for resale in 2019.
Xperien IT Asset Disposal (ITAD) expert, Bridgette Vermaak, said there were 206.7 million used devices for resale last year and this market is set to be worth $67 billion in 2023.
“This is fantastic news for OEMs, mobile operators and third-party logistics providers (3PLs). They stand to gain enormous additional revenue by unlocking the hidden value in these used smartphones,” Vermaak said.
According to the study, 54 per cent of US consumers would be willing to trade-in their used device at the point of 5G upgrade and 62 per cent of consumers wanted assurances over the secure management of their data before handing over their old device. More than 75 per cent of global consumers were at least somewhat concerned that data stored on their old device might be compromised after trade-in.
“When replacing or disposing of any IT asset, it is necessary for the company to guarantee that the data stored on the asset is destroyed according to industry standards and government regulations.Companies need to protect their information as data breaches could result in huge losses,” she warned.
The momentum being built by the secondary device market across the globe shows no signs of slowing down. The availability of 5G in 2020 is going to significantly increase the number of used devices returning to operators and OEMs through buy-back and trade-in programs.
