For many IT asset managers, a high priority in the ITAD process is asset resale value. In a growing resale market for smartphones, value is quite high for many models, especially those that have original packaging/accessories and were only lightly used. But how can you maximize your company’s value recovery for used corporate smartphones?
A couple months ago, we discussed a bill in the Senate Judiciary Committee regarding the unlocking of mobile devices. Though this bill never gained much traction, earlier this month President Obama signed the Unlocking Consumer Choice and Wireless Competition Act into law. The act has allowed for the lawful unlocking of smartphones, making them useable with more than just their original carrier. Though this Act is not as far-reaching as the original Senate bill, for US-based consumers and businesses that are looking for higher resale values on their used devices, this news is significant. Because an unlocked smartphone can be used with almost any carrier network, buyers in the resale market will be able to simply pop in their SIM card and return to “business as usual” without switching carriers.
This capability increases the phone’s value to the consumer because it allows for the use of pre-paid SIM cards when travelling, in addition to granting the user freedom to change service providers without being forced to discard one device and purchase another. More importantly, it means buyers on a variety of different networks can use the phone, increasing the pool of potential buyers and increasing the value of an unlocked device compared to a locked device of the exact same make, model, and condition. It is up to the user/owner to request an unlock code from their carrier or unlock the smartphone through other means such as jailbreaking or rooting the device.
Although this new functionality will increase value, there are some possible disadvantages and risks to doing this. Three possible issues are: 1) it is possible that the unlock code you use will not provide access to every network 2) multiple unsuccessful attempts to unlock phones can freeze or brick them, and 3) some pre-loaded apps may not function with new carriers.
These concerns are rather mild, of course, which means that the advantage of unlocking your smart phone outweighs any downside. Now that you know how to get more for your device, it’s also important to note what not to do when planning to resell it.
It’s very important not to let a corporate smartphone enter the hands of a buyer with any proprietary company data remaining on it. Many people think that a factory reset or reflashing the memory of smartphones is enough to remove their data. Actually, these methods may not permanently remove the data from the device, and allow for identity thieves and attackers with the appropriate tools to recover all prior data without significant effort. The best option is to use trusted wiping software such as Tabernus DataWipe, which guarantees that the device’s data is securely deleted beyond commercial recovery methods. Tabernus also outputs detailed reports and records about each smartphone and its successful erasure.
One major issue which is often overlooked is the ‘Find my iPhone’ feature for Apple devices, or the remote wipe feature that some other phone types allow. If left on, these features will render your device worthless on the resale market. As long as the original owner has the ability to locate and remotely wipe the phone, no buyer will be willing to purchase it. Many times, the smartphone cannot even undergo a factory reset or other wiping process when these protections are in place. Because of this, it is the original owner’s responsibility to disable these features before resale. Though it is meant to protect you from theft and data loss, it may handicap your ability to sell your old device when you decide to upgrade to a new model.
For more information about what steps to take before you sell your used smartphones, download our free Guide to Wiping Data on Mobile Handsets.
