MarkITx is a transparent B2B marketplace to buy, sell & trade used IT equipment.


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Why MarkITx is better than Tatooine

The resale market for used IT equipment is as dry and unfriendly as Tatooine. So what’s an IT pro supposed to do with their old servers, switches and routers?

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If you’re here reading this, you know MarkITx is a friendly planet. We provide you with a free valuation of what your gear is worth and, when you’re ready to buy or sell, our matching engine takes all the work out of finding what you need. Of course, you could always wait for the scavengers to haul away your droids. Maybe they will build clusters to calculate how in the world Han Solo did the Kessel Run in less than 12 parsecs (h/t Stupendous Man).

That Cisco switch gathering dust in the corner of your Rebel base? Yeah, it’s worth money. Want to justify a badass server to battle the dark side? Show your finance director how much you can offset the cost by selling some of your used equipment on the exchange.

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MarkITx is an equal opportunity IT exchange where all members and transactions are protected from Jawas and other rodent-like gear grubbers.

Even though we do our best to keep the tricksters at bay, on occasion, they slip through. Recently, one enterprising Jawa was spotted impersonating a trader on the MarkITx exchange. It’s unclear what this particular Jawa was planning to do with the money recouped through multiple trades. What is more annoying is the high-pitched complaints about sand in the equipment and overheating machines, but no one has yet to file a ticket.

Utinni!


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Increased Market Activity Around Cisco WS-C3750X-48PF-S

There has been a noticeable increase in website searches and market activity around the Cisco WS-C3750X-48PF-S unit this week on the MarkITx exchange. Interested in buying or selling this unit? MarkITx product pricing doesn’t hide behind a ‘Click for Quote’ button. Price transparency is a huge focus on the platform, allowing members to see what this unit is currently trading for and what it has traded for in the past. Retail price on the Cisco WS-C3750X-48PF-S unit is around $9,266, with a low price of $4,169 and $2,974 on the wholesale market.

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Get an inside view of the market while you’re trading, simply post your demand or supply and let our exchange do the rest of the work for you. All of our products are OEM certified-refurbished and we guarantee satisfaction. Learn more about the product here.


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Cisco v. Juniper: Who Wins the Battle of Residual Value for Your IT Dollars?

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Cisco v. Juniper: Who Wins the Battle of Residual Value for Your IT Dollars? 

The Motley Fool recently concluded that Cisco, despite a slump in it’s routing and switching business, is a better stock pick than Juniper. But the report didn’t address the value of each company’s individual products.

Sure, CIOs recognize Cisco as THE leading network equipment manufacturer, a stat backed up by sales figures, but is Cisco really the BEST purchase for an entity looking to maximize its return on investment? The MarkITx team sought out to answer that question, and the results shocked even us. To get to the bottom of this burning question we analyzed one year’s worth of trades on eBay for refurbished Cisco and Juniper firewalls, VPN devices, and switches that could all still be purchased new through retail.

Here’s what we uncovered:

 1. Across the board, people are paying widely different amounts for the same piece of hardware. 

Refurbished Cisco Firewalls and VPNs sold for as high as 80% of retail and as low as 10% of retail and everything in between. Some buyers are paying 5 times too much while certain sellers are listing and selling products well under 25% of fair value.

It all comes back to a lack of transparency in the marketplace for the real value of the products. Enterprises have no understanding of the future depreciation of technology, let alone the current real-time value, because they haven’t had the proper tools and knowledge at their disposal*.

There’s no method to determining the list price on eBay and the marketplace doesn’t know what’s a good buy and what’s not. It may as well be the Wild West. What’s worse, enterprise sellers who sell into the wholesale channel typically receive less than 25% of the median eBay price.

 2. Juniper switches have a slightly lower overall residual value than Cisco, but Juniper switches hold their value over time better than Cisco switches. 

Based on industry perception, you would expect switches from both OEMs to have a very sharp drop off in resale value, but we discovered resale values between 35-50% of retail for products released a year prior, regardless of manufacturer.

Interestingly, the refurbished Cisco switches started out around 50% and followed a linear depreciation dropping to 35%. The refurbished Juniper switches continued to hold their value at around 40% across the 12-month study.

These findings contradict the OEMs’ drumbeat message that their customers need the latest and greatest. In fact, the data show that buyers of used networking equipment are more interested in expanding their existing footprint than they are in frequent upgrade cycles.

*CIOs and IT decision makers can breath a sigh of relief because the days of obscure used IT pricing is over. Our transparent two-sided market allows buyers and sellers to make the most informed purchase decision possible thanks to the MarkITx proprietary algorithms across many different data sources offering predictive pricing on the value of depreciating IT.


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Really, Cisco? Boxes Are Dead?

“The days of boxes are over.”

So says Cisco chief John Chambers.

In a December interview, Chambers announced a seismic shift in strategy. Rattled by growing competition, the world’s largest networking equipment manufacturer says it’s leaving the box world behind and adopting a new software-and-service model.

Cisco’s massive new marketing campaign introduces “The Internet of Everything.” According to Cisco, we’re all connected — just one big, happy family of smiley people. Those that aren’t already connected will be, and sooner than you might think. It’s Metcalfe’s Law on steroids.

In response to this demand for connectivity, the need to reach out and give the world a virtual group hug, Cisco says they’re changing. No longer simple box builders, they’re going to design solutions that do everything. They’re going to work with civil engineers and governments to create optimal traffic patterns, clean water, you name it.

On the Internet of Everything, trees will talk to networks. Networks will talk to scientists about climate change. The power of multiple connections is a sexy, mind-blowing concept. Much more interesting than boring old boxes.

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Boxes are dead. Service is where it’s at, says Chambers.

Only he left out one small detail…

The Internet of Everything Runs on Boxes.

Many, many, many boxes.

Boxes sold by Cisco.

Cisco’s making a change because they’ve been bleeding talent. Some of the best SDN innovators used to be on Cisco’s payroll, and now their startups are taking over the hardware space. Chambers may deny feeling the heat, but he’s definitely looking over his shoulder. And seeing some familiar faces.

Cisco products are no longer unique or innovative enough to compete. You can do more with open-source or in the cloud for less money. Hardware has become a commodity, one with lower prices and even lower profit margins.

Cisco needs to differentiate.

So they’re taking a page from IBM’s book. Faced with competition that’s more nimble, they’re investing in the future, a future in which, thanks to SDN, you can change things on the fly, in an instant, across the board.

But even changing things on the fly requires boxes. And Cisco’s certainly banking on all of the happy, connected people of the world buying Cisco boxes while they’re enjoying their smooth traffic patterns and clean drinking water.

Get Your Head out of the Cloud

You can operate in the cloud, but you have to come back down to earth sometime, and when you do, there’s a bunch of boxes down there. You still need hardware. Architecture. Infrastructure.

Cisco’s going to use cloud services to attract new box business. New customers might not be end users. They might be cloud providers. Cisco’s hoping they can use services to create ongoing relationships that increase client retention, a strategy with the potential to be infinitely more lucrative than just hoping for return hardware business.

Breathing Life Into the Box

Boxes are not dead. But Cisco’s right about one thing.

We’re amassing new connections at the speed of light. Innovation is moving at an insane rate. We’re going to need the right boxes to keep the “everything” running, and Cisco knows that. Every time we buy a box so we can talk to the trees, the networks, and the scientists, Cisco makes money. They’ll expand into markets they haven’t been able to tap before. Box customers will become service customers. Customers that pay licensing fees and recurring service fees. And Cisco will build ongoing relationships with them.

Which will help them sell more boxes.

Hardware vendors like Cisco are not getting out of the box business. They’re just figuring out new ways to make money on the box business. Adopting a new service model will help them move more product.