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Solution providers and vendors excel at selling businesses equipment. Box after box goes into businesses, IT shops and data centers. Rarely do they come out, even at the end of their service life. They end up in piles waiting for a way to dispose of them environmentally safely and without compromising residual onboard data.

Distributors Avnet and Ingram Micro are addressing this problem with new initiatives that offer solution providers and their customers services for safely getting rid of out-of-service and obsolete hardware.

Avnet yesterday announced its acquisition of Canvas Systems, a specialist in equipment lifecycle management and refurbished equipment sales. The distributor intends to integrate Canvas into its Avnet Technology Solutions service division, giving solution providers asset disposal, refurbished and used equipment inventory sales and asset management services.

“The acquisition of Canvas Systems enhances our IT lifecycle management services capabilities and supports our strategy to deliver best-in-class solutions that help our business partners consistently achieve profitable growth,” stated Jeff Bawol, president, Avnet Technology Solutions, Americas. “The addition of Canvas Systems enhances Avnet Technology Solutions’ ability to deliver a seamless solution at any phase in the IT lifecycle and provides its suppliers an additional channel for capturing brand loyalty in the secondary market.”

Last month, Ingram Micro announced a similar asset disposal initiative with partner U.S. Micro. The Ingram program is squared almost exclusively on the services of safe disposal of computer equipment without compromising the environment or data. Companies disposing of equipment receive a certificate releasing them from responsibility in the event data is compromised.

Ingram believes its environmentally friendly and data-sensitive service is ideal for industries undergoing significant equipment refresh cycles and modernization, such as health care and government.

“As trusted advisers to both businesses and consumers, our partners in the Public Sector and Healthcare markets are perfectly positioned to offer IT asset disposition services as part of their IT services portfolio,” says Michael Humke, senior director, public sector and healthcare markets, Ingram Micro U.S. “Together, Ingram Micro and U.S. Micro stand ready to enable our channel partners to turn this opportunity into a recurring revenue stream that will bring added value to their business, as well as the clients they serve.”

Of the two initiatives, Avnet’s provides the most fodder for speculation. Cisco last year announced a major refocus on bolstering its refurbished equipment sales, believing the secondary market represented a $7 billion opportunity. Secondary equipment market leader Network Hardware Resale tells Channelnomics the demand for refurbished equipment is increasing as businesses look to extend the life of their infrastructures by adding used or out-of-production gear.

Refurbished equipment is not something embraced by vendors since it’s often seen as eroding sales of its new products. While some vendors such as Cisco, Hewlett-Packard and Dell sell pre-owned products, they typically don’t flow through distribution. Most pre-owned gear is restored and sold through specialists such as Canvas and NHR.

By jumping into the equipment lifecycle management business, Avnet is breaking new ground for distribution with the ability to offer new and pre-owned products to their solution providers and customers. This could make for some interesting new dynamics in the options Avnet solution providers are able to offer their customers.