MYTH BUSTERS: The real truth about surplus network equipment.

In this article PICS Telecom dispels misconceptions and outright lies about surplus network equipment:

#1: The secondary market is NOT the same as the gray market.

Truth is, the two markets are vastly different. Most reputable surplus and pre-owned network equipment sellers have more stringent practices in place to detect black market and counterfeit goods than most original equipment manufacturers (OEMs), value-added resellers, and distributors. Since packaging is not a reliable way to judge authenticity, the best secondary marketers conduct extensive tests on all resold equipment to prove legitimacy. In addition to these high standards, top providers in the secondary market work closely with law enforcement to eradicate counterfeit equipment.

#2: Used equipment is NOT abused equipment.

Reputable marketers of surplus and pre-owned network equipment do not sell their goods “as is.” All products are fully refurbished to ensure that they’re as close to original condition as possible—and in many cases, they’re better than new. Buyers should only deal with alternate equipment sources that have a proven track record for longevity, financial stability, and reputable business practices.

#3: The equipment you need IS available from other sources than the OEM.

More surplus and pre-owned network equipment is available today than ever before. Top providers in the secondary market maintain extensive inventories of the most popular networking equipment. This means the vast majority of requests can be filled on the spot. If not, these providers have extensive contacts, enabling them to fulfill requests within days. By contrast, it often takes weeks or months to secure new equipment from manufacturers.

#4: Third-party components are NOT necessarily inferior.

Third-party components can be effective replacements for original equipment. For example, Cisco buys its memory from NEC, Samsung, and other third parties, rather than the product manufacturer. The memory does not carry a Cisco logo, even when it’s resold, so identical items are available directly from the memory manufacturer. Purchasing accessories such as memory directly from a third-party source may reduce costs as much as 80 percent. A knowledgeable secondary market provider can help you identify these opportunities, while ensuring that all third-party components are, in fact, high-quality equipment.

#5: You CAN get robust protection for used equipment.

In fact, here at PICS Telecom International, we introduced the industry’s first standard, one-year overnight replacement warranty on every equipment purchase. Since then, many others in the secondary market have followed suit—often surpassing the warranties offered by many OEMs.

#6: You CAN get great technical support from pre-owned suppliers.

Leading suppliers of pre-owned equipment offer both pre- and post-sale technical support from certified technicians. In most cases, these experts test up to 100 pieces of networking gear each day, giving them more real-world experience than most technical support specialists from OEMs.

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