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Why Data Center Liquidations Spread Far and Wide

Why Data Center Liquidations Spread Far and WideBuilding a data center has been declared as one of the hottest business opportunities in the current economic climate. The exponential growth of data and the resulting demand for storage continues to grow. The growth of content, including video and audio is unstoppable. 

Though building and running data centers is a great opportunity, there are many companies who have tried to do so and failed. And there are those who have built data centers which are no longer deemed efficient enough to manage large amounts of traffic or where virtualization makes equipment out of date. 

Not Such a Simple Process

The resulting sell-off of equipment from data center liquidations can provide tech buyers around the world with opportunities to scale up their own data centers with refurbished equipment. It may seem like a simple process to sell off used servers for parts when they reach their end of life with the original buyer. But there are many steps in liquidating a data center including:

  • Decommissioning
  • Wiping data from memory
  • Transportation of equipment
  • Refurbishing and resale of the equipment
  • Installation of the equipment in its new location

Of course there are components which can’t be repurposed into new data centers. Much of the equipment has to be stripped down for its components or raw materials. Some materials can be sold on websites like eBay, donated to worthy non-profit organizations or schools, and hazardous materials can be disposed of safely by professionals. Equipment brokers can sell some network gear and servers through auctions or by negotiating with their regular clients. 

Verifying Data is Destroyed

In some cases, selling off your data center assets can spread information further and wider than you ever intended. Ensuring data is deleted, overwritten, wiped, destroyed, shredded, and otherwise rendered to a state where information cannot be retrieved. 

You have to make sure you track any equipment you sell or donate just in case a data breach occurs. In case you are audited for retrieval of certain records, you want to be able to say more about the whereabouts of certain equipment other than “Beats me!” That won’t work with auditors. 

Asset Liquidation Services

If your data center is looking to offload a large quantity of equipment from a facility which is being retooled, renovated, or relocated, hiring a provider of asset liquidation and shutdown services is a smart strategy. They can handle the physical cleansing and movement of the gear, the administrative record keeping, and make sure you stay out of hot water with auditors from government or other regulatory bodies.


Data center liquidations involve a lot more than dropping a bin or two in front of a rollup door and trucking gear off to the electronics recycling depot. Don’t go it alone with your data center downsizing, shut down, or relocation project. Make sure to get it done the right way or get the help you need so that your data center can avoid future problems. 


Has your data center ever gone through a similar situation? Have you ever picked up equipment from another liquidation? Tell us about it in the Comments section below.


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Topics: Data Center Colocation

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