For those managing IT budgets and procurement, the last few years have been a bit of a muddle. Just as we thought the global supply chain was finally finding its feet, we have been hit by a rather significant spot of bother. Predictability in laptop pricing has essentially broken, with costs for new devices jumping by 35% since November last year. If you are wondering why the office laptops estate refresh is suddenly looking so expensive, you can point your finger at the silicon wafer.
The heart of the problem lies in an unprecedented mismatch in supply and demand. The massive explosion of AI data centres has seen hyperscalers ‘nicking’ almost all the available high-capacity memory and processor supply. As chipmakers like Micron pivot towards these high-margin data centre components, the humble business laptop market has been left in a bit of a pickle.
The disappearing budget laptop
The financial reality is quite stark because recent data from Gartner suggests that soaring memory costs could drive worldwide PC shipments down by over 10 percent in 2026. Prices for DRAM and solid-state drives are projected to surge by 130 percent by the end of the year, which is likely to push PC prices up by another 17 percent. Perhaps most concerning is the prediction that the entry level PC segment consisting of those sub £400 machines that many schools and small businesses rely on is set to disappear entirely by 2028 as vendors simply cannot absorb these costs anymore, making low margin hardware a non-viable pursuit.
The pivot to refurbished laptop
In this climate, it is no surprise that the second-hand market is moving decisively into the mainstream. Ben Caddy, Senior Analyst – Sustainable Ecosystems at Omdia, recently noted in his latest research for the channels team that the industry is seeing a major shift.
Vendors are no longer looking at the secondary market as an afterthought; they are embracing it as a mature ecosystem. As Caddy highlights in his analysis of the latest data from the Canalys channels team, the industry is witnessing a “fundamental change” in how devices are sourced and managed.
The UK is leading the charge here, with refurbished PC sales effectively doubling in 2025. This is not just about saving a few quid because while affordability is the dominant driver, there is a growing segment of buyers willing to pay more for better specifications provided the quality is guaranteed.
A more sustainable path: the circular solution
This is where the concept of the circular economy moves from a nice-to-have ‘green’ initiative to a genuine supply chain solution because the traditional ‘take-make-waste’ model is becoming a last resort. Instead, remanufacturing, which is a process that restores hardware to a near-new performance standard, is filling the gap left by the new-device shortage, although it is vital to understand that not all “non-new” hardware is created equal.
Autumn Stanish, Director Analyst at Gartner, calls for a shift away from traditional recycling, saying, “Recycling is the least preferred method that we have. What we want is reuse, repair, and remanufacturing. Only then can we get more sustainable.”
While the industry standard for “refurbished” often involves inconsistent grading and basic repairs, Circular Computing operates in a different league entirely.
Why our remanufacturing is poles apart from industry refurb
In the wider market, a refurbished laptop is often a bit of a gamble. You might find varying grades (A, B, or C) based on subjective opinions, and the testing might be as simple as checking if the machine actually turns on. Components are typically only replaced if they have already failed, leaving you with “used” internals that might let you down six months later.
Circular Computing has effectively established a new product sector by moving beyond these basic standards. Our process is a 360-step, five-hour journey that returns a used product to at least its original performance. While an industry refurb might have a high RMA, Circular Computing maintains an RMA of less than 3% because every laptop is dismantled to its major component parts.
The zero-compromise policy means you won’t find microscopic scratches or pressure marks on the screens. Every single screen is removed and has parts replaced to ensure a perfect finish. Unlike standard refurbs where plastics are lightly sanded, Circular Computing sand down to the bare plastic and use state-of-the-art robots to repaint covers, palm rests, and bezels to match the original factory finish.
Proof in the pudding: case studies
The move to high-quality remanufactured laptop is already paying dividends in the real world. Consider Kent County Council, they faced a digital conundrum. They had pledged to bridge the digital divide for their residents through Digital Inclusion scheme – bringing technology to every doorstep and connect every individual to the digital world. By opting for Circular Computing’s remanufactured laptops, they managed to not only help bridge the digital divide but also significantly reduce Scope 3 carbon emissions.
Similarly, Together for Mental Wellbeing demonstrated that the circular model is not just for the education sector. For a charity where reliability and data security are paramount, the transition to remanufactured laptops provided the performance required for sensitive frontline work. It allowed them to stretch their resources further, focusing their funds on core services rather than overpaying for brand-new laptops.
The quality assurance shift
One of the biggest hurdles for non-new laptops has always been the negative perception of “used”. However, some in the market has professionalised rapidly. Circular Computing was the first in the world to achieve the BSI Kitemark for laptop remanufacturing. This accreditation certifies that the process produces products “equal to or better than new.”
For a procurement head, this provides the reassuring experience of a brand-new purchase as you receive a consistent, high-standard product whether you order 5 or 5,000 units. This level of precision engineering paired with a warranty that matches or exceeds that of original manufacturers effectively removes the risk that usually haunts the refurbished market.
Looking ahead
As we move towards 2027, the supply of chips is unlikely to change materially, meaning laptop prices will continue to climb. The channel is recognising that the disposal of IT assets must become the option of last resort.
By integrating remanufactured hardware into their refresh cycles, tech executives can reclaim control over their costs while simultaneously hitting their ESG targets. It is a sensible, pragmatic move in an era where the old rules of procurement no longer apply. High-quality remanufacturing is no longer just an alternative for the eco-conscious; it is becoming the norm for anyone who wants to keep their organisation running smoothly without breaking the bank.
