Moving or selling data center equipment can be an expensive project. A recent Info-Tech survey indicates that the average data center relocation costs $120,000 or $10,000 per rack. However, every project is different, and the budget can change substantively at numerous key points throughout the project. Decommissioning a data center is a complex undertaking that involves various strategic decisions, including whether to move or sell the existing equipment. The decision-making process in this regard requires careful consideration of several factors to ensure optimal outcomes. Let’s delve into the key aspects involved in making this critical decision.

Understanding the Context

Assessing Equipment Condition

The first step is to assess the condition of the data center equipment. Determine whether the hardware is still functional, meets current requirements, and aligns with future IT infrastructure needs. Equipment that is outdated, obsolete, or no longer compatible may not be worth moving and could be better suited for sale or recycling.

Cost-Benefit Analysis of Selling Data Center Equipment

Conduct a comprehensive cost-benefit analysis to evaluate the financial implications of moving versus selling the equipment. Consider factors such as transportation costs, installation expenses at the new location, potential resale value, and the cost of purchasing new equipment if needed. If the equipment will need to be upgraded or reaching EOL in the next six months to a year the long term ROI for that equipment decreases when you include the upgrade/change in the near future. Compare these costs against the potential revenue generated from selling the equipment. Determining the value of equipment to sell should be left to professional companies like Teletraders as they have vast experience in the resell and disposal of equipment. They will quickly help you determine whether you need to sell, recycle or dispose of the equipment.

Future Expansion and Scalability

Assess the scalability and future expansion plans of the organization. If the decommissioned data center is part of a growth strategy, it may be more beneficial to consider selling data center equipment and invest in newer, more scalable infrastructure at the new site. Conversely, if the organization is downsizing or consolidating its operations, moving the equipment to another location might be a viable option.

Environmental and Sustainability Considerations

Evaluate the environmental impact of both options. Selling the equipment could potentially prolong its lifecycle through reuse or recycling, thus minimizing electronic waste. On the other hand, transporting the equipment to a new location incurs carbon emissions and environmental costs associated with logistics. Consider adopting eco-friendly practices and choosing the option that aligns with sustainability goals.

Regulatory Compliance and Data Security

Ensure compliance with regulatory requirements and data security protocols throughout the decommissioning process. If the equipment contains sensitive data, proper data sanitization measures must be taken before selling data center equipment or disposing of it. Consider the legal and security implications of both moving and selling the equipment to mitigate potential risks. When it comes to protecting your company data be sure to use companies that follow industry guidelines for the proper handling or your equipment whether selling, recycling or disposing. Here are some of the relevant standards depending upon the type of data you have in your network:

ISO 27001 Standard

ISO 27001 represents the premier standard for information security management systems (ISMS). Obtaining this certification requires the establishment of thorough security measures including controls, policies, and procedures. It demonstrates a dedication to strong data security protocols, thereby building trust with clients who entrust their sensitive information to your organization.

SSAE 16 and ISAE 3402 Standards

SSAE 16 (Statement on Standards for Attestation Engagements No. 16) and ISAE 3402 (International Standard on Assurance Engagements No. 3402) are focused on the controls and processes at data centers or service organizations. They offer transparency in operational integrity, ensuring that client data is managed securely and with integrity.

PCI DSS Compliance

Compliance with the Payment Card Industry Data Security Standard (PCI DSS) is mandatory for data centers that process payment card data. This compliance safeguards sensitive financial data through stringent security protocols, preventing data breaches and securing credit card transactions.

HIPAA Compliance

In the healthcare sector, adhering to the Health Insurance Portability and Accountability Act (HIPAA) is crucial. HIPAA mandates the protection of sensitive patient health information. Data centers managing healthcare data are required to enforce safeguards that protect the confidentiality, integrity, and availability of this vital information. Learn more about the process here.

Conclusion

The decision of whether you should moving or selling data center equipment during decommissioning requires a thorough analysis of various factors, including equipment condition, cost-benefit considerations, future expansion plans, environmental impact, and regulatory compliance. By carefully weighing these factors and consulting with relevant stakeholders, organizations can make informed decisions that align with their strategic objectives and maximize the value of their assets while protecting their company’s critical data and security. Ultimately, the decision-making process should prioritize long-term sustainability, cost-effectiveness, and alignment with the organization’s goals and values.