The worldwide PC market had a decent start to 2024, with total shipments of desktops and notebooks growing to 57.2 million units in the first three months of the year. This growth signals a recovery in PC demand across all segments, partly supported by AI-capable PCs, shows research by Canalys. An opportunity for companies focusing on circular IT, says Flex IT CEO Andreas Mayer.

According to Canalys, the wider introduction of AI-capable PCs in the second half of the year will give the market a further boost, delivering innovation and added value to users who refrained from buying new PCs during the post-pandemic downturn. Canalys forecasts that nearly 50 million PCs shipped in 2024 will be AI-capable, integrating a dedicated AI accelerator such as an NPU.

Circular IT to benefit from emergence of AI-specialised PCs?

The emergence of AI-specialised PCs is at the eve of a significant transformation of both hardware and software capability to enable the transition to large-scale AI usage. As AI tools advance, the need for IT components, such as memory, storage and GPUs, will escalate in the upcoming years. Can the emergence of AI-capable PCs be seen as a threat to companies focusing on circular IT? According to Flex IT, circular IT can play a crucial role in facilitating this transition.

“I actually see it as an opportunity. I am confident that AI will drive increased demand for new PCs in the coming years. As a result, the ITAD industry will see an increased inflow of devices into the refurbishment cycle. Today one of the big challenges in the refurbishment industry is the lack of appropriate supply and this should at least be partially resolved through the boost in product replacements. As with every new technology, you will have early adopters – who will buy and work with the AI capable devices. At the same time a large number of the users will not require nor directly benefit from the technological enhancements. The functionality and speed of processors and chips from the last 3-4 years will continue to be more than sufficient for the workplace needs of many, ” states Andreas Mayer, CEO of Flex IT.

In addition to an increase in demand for new PCs, Mayer predicts that circular devices will continue to be in high demand.

“In my view sustainability requirements and financial benefits will continue to drive significantly higher demand for circular IT devices. The replacement cycle driven by AI-capable PCs will help solve the supply challenges around refurbished devices. Hence my strong view that AI-capable PCs are an opportunity and not a threat for the circular IT industry. ”

An encouraging sign for the refurbished IT market

The total shipments of desktops and notebooks grew 3.2 per cent annually. Notebook shipments increased by 4.2 per cent, whereas desktop shipments were stable, down with only 0.4 per cent. The global PC market is showing signs of vitality and is forecasted to grow further in the upcoming quarters, with purchases accelerating now organizations are preparing a large-scale transition to Windows 11. The convergence of a larger and aging PC base with the push towards AI-capable PCs is expected to rejuvenate the market significantly.

“The growth of total shipments of desktops and notebooks in the first quarter of 2024 is an encouraging sign, suggesting an ongoing recovery across all segments. Despite the broader challenges facing the IT market, there is reason for cautious optimism for the year ahead. We have observed that the refurbished IT market is gaining a significant share within Europe, driven by a rising demand for sustainable solutions and the emergence of AI-capable PCs. Circular IT can significantly contribute to this transition, whereas it aims to optimize the use and reuse of critical components that are expected to be the building blocks of AI-capable PCs,” Andreas Mayer concludes.

Organising a successful festival requires the right technology to ensure smooth operations and a memorable experience for attendees. However, purchasing IT hardware can be a significant investment, not only financially but also in terms of time and effort. Renting IT equipment offers a range of advantages that can make your festival more efficient and enjoyable. Let’s discuss three benefits of renting IT hardware for your next festival.

Budget Your Festival and Save Costs

One of the biggest benefits of renting IT hardware is the significant cost savings. Buying equipment requires a large upfront investment, which can strain your budget, especially for occasional events. Renting provides the technology you need at a fraction of the cost, freeing up funds for other festival expenses.

Renting also helps you budget in advance, which is useful if you rely on seasonal employees and temporary staff. Rental agreements often include support, meaning unexpected repairs or replacements are covered. You can use the hardware when needed, avoiding the depreciation that comes with owning unused equipment.

Scale Your Technology Needs

Festivals vary in size and scope, therefore renting IT hardware offers the flexibility to scale your technology needs accordingly. Whether it’s a small local festival or a large international event, renting allows you to adjust the amount of equipment easily. This ensures you are neither over-investing in unused technology nor under-equipped for the event.

When you rent IT hardware, the rental company usually handles all maintenance and support, ensuring that the equipment is in optimal condition. This removes the hassle of dealing with technical issues yourself and lets you focus on running the festival smoothly. Plus, having professional support available can quickly resolve any issues during the event.

Optimise Your Festival Experience

Technology advances rapidly and keeping up with the latest innovations can be challenging and expensive. Renting IT equipment gives you access to the most current and advanced technology available. This can improve the efficiency of your festival operations and provide a better experience for attendees. By using the latest equipment, you can ensure better performance and reliability, minimizing technical issues during the event.

An additional perk is that some rental companies offer spare units when you rent large volumes of devices. This ensures that if something goes wrong, you have immediate replacements available, providing extra security and peace of mind. This allows you to focus on delivering a seamless festival experience.

Ultimately, every successful festival starts with the right IT hardware. Renting IT hardware for your festival offers many benefits, including cost savings, access to the latest technology, flexibility and improved attendee satisfaction. Renting is a smart choice for organizers aiming to maximize resources and ensure a successful event.

At Flex IT Rent, you can rent various types of equipment for festivals including phones, scanners, iPads and much more. Visit the Festival Solutionpage, designed to match the best products to festival needs, to help you make your festival a success.

Last summer, I analysed the developments in the IT market in a blog. It was clear that the market was in a relatively tough period, but at the same time, there were enough positive signals, including within Flex IT, that made me look to the future with confidence. Looking back on 2023, my confidence has only increased, supported by the progress in the IT sector, breakthroughs in European sustainability legislation, and the numerous developments at Flex IT itself.

Market analyses and reports had already predicted growth for the global market of refurbished computers and laptops in the coming years. At Flex IT, we are gradually starting to see these predictions become reality. There is still a lot of work ahead of us, but the signs of recovery are visible. This is also evidenced by the success of our circular product line, HP Approved Selection, for which we recently announced the launch in the Nordics. This stems from the increasing demand for sustainable IT solutions in Europe, a trend that we also strongly observe in the Netherlands.

The year 2023 also brought positive developments in the area of European legislation. Since last year, Flex IT has officially been a member of EUREFAS, the European Refurbishment Association, which is committed to safeguarding and defining quality standards and promoting the circular economy. Notably, legislation approved by the European Commission for improved repairability of smartphones and tablets in the design phase, the warranty on the availability of spare parts (7 years) and repair manuals, and the requirement that manufacturers guarantee the removability of batteries. In addition, there are several initiatives under development that are promising and for which EUREFAS is strongly advocating, such as the introduction of a product passport, prioritizing reuse over recycling, a clear definition and framework for refurbishment, and opening up the repair market to independent repairers.

A series of developments

In 2023 and continuing into 2024, Flex IT itself also underwent a series of developments. A highlight is the launch of our new webshop, flexitcircular.com. This e-commerce platform not only gives customers access to an extensive range of circular IT products and services but also offers detailed sustainability information for a select group of these products—a group that we are continuously expanding. Here, customers can gain insight at the product level into the CO2 reduction that the purchase of a circular IT device yields, compared to new IT products. Thanks to our collaboration with Ecochain, it is possible to present these sustainability data, which gives us a unique position in Europe that we continuously keep developing and optimizing.

Our Rent and ITAD businesses are also making significant progress. With these two branches, we offer solutions that cover the entire circular IT cycle. Through our rental division, we are active across Europe to further expand our leadership position in IT rental solutions. In addition, we are significantly expanding our ITAD business by offering customers and businesses an efficient and financially advantageous way to give their IT hardware a second life. The newly developed Buyback & Trade-In Initiative, a collaboration between HP and Flex IT, is a good example of this. This initiative provides a sustainable solution that extends the lifecycle of hardware by recognizing the residual value of old devices. Customers can trade these in for credits or discounts on new HP products, which offers financial benefits, contributes to the reduction of e-waste, and provides the opportunity for hardware upgrades.

Furthermore, Apple Certified Refurbished has gained a more prominent role within Flex IT. These refurbished products meet very high quality standards and form a valuable addition to our circular offering. Together with the expansion of the HP Approved Selection to other European countries, our efforts in the Rent and ITAD areas, and the launch of our new webshop, Flex IT is taking significant steps forward in realizing our ambition to lead the transition to a circular IT hardware market in Europe.

Looking ahead to the rest of 2024, I expect many developments that will contribute to strengthening our position as a leader and expanding our expertise in the European market. I look to the future with confidence and notice that Flex IT is increasingly seen as an important voice within the industry. During conferences, trade fairs, and other events, Flex IT is regularly asked to contribute our knowledge and presentations. Despite the challenges and the considerable work that still needs to be done, all these developments give me confidence that Flex IT is on the right track and that 2024 will be a successful year for us.