Data destruction niche unfulfilled

Data destruction niche unfulfilled

Report reveals that potentially lucrative market sector is going unnoticed by channel players

The channel is missing out on a potentially lucrative revenue stream in data destruction due to a general lack of understanding of the concept in relation to the European Union’s (EU) Waste Electrical and Electronic Equipment (WEEE) directive.

WEEE regulations came into force last July, but data destruction is not part of this.
A recent survey commissioned by data recovery vendor Kroll Ontrack found that 73 per cent of UK IT professionals do not fully understand the requirements of WEEE.

The study showed that although 95 per cent of respondents implement end-of-life hardware practices to comply with the WEEE regulations, most companies are still unaware of the need for data deletion as a separate action.

Alastair Molyneux, business development manager at Kroll Ontrack, said: “There is ignorance in the market. Businesses are careful with data security when it is onsite, but do not seem to care after it has left the office.”

“There should be more products with government standards and businesses should consider the green issues too,” he said.

The channel agreed there are more opportunities in data destruction, as most end users are unaware that this is not included in the WEEE directive.

Recycling firm EOL IT Services, previously End-O-Line Services rebranded last year as it claimed to draw 90 per cent of its turnover from IT services instead of waste retrieval.

Richard Parker, managing director of EOL It Services, said: “Businesses seem to think that data destruction is included [in the WEEE directive]. EOL offers a hard drive wipe service and certificate as proof that it has been destroyed.”

“The government has not publicised this enough. It has been slow in getting its footing,” he added.
Reseller Leapfrog Computers, which earlier this month discovered a missing Home Office disc inside a laptop handed in for repair suggested that end users should take responsibility over their data by asking for a paper trail confirming its destruction.

Lee Bevan, managing director of VAR Leapfrog Computers, said: “There is an opportunity for manufacturers to offer rebates on PCs, which will encourage more to embrace the directive.”
VAR tindirect abandoned its WEEE operations due to a lack of interest.

Rod Haddrell, managing director of tindirect, said: “Tindirect did not see any opportunities in WEEE and ended up with scrap heap equipment. There is a service for data destruction, but it has to be high end or people are not prepared to pay for the service.”