Innovating in Refurbishment, Repair, and Remanufacturing | Build Better 2024

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The landscape of consumer electronics and hardware is undergoing a fundamental shift. After decades of sealed devices and manufacturer-controlled repairs, major tech companies are embracing repairability—not just as a compliance requirement, but as a strategic advantage that delivers business value while meeting evolving customer expectations.

This transformation isn't happening by accident. A perfect storm of environmental concerns, customer demands, and emerging legislation has pushed manufacturers to rethink their approach to product design and lifecycle management. But what's particularly interesting is that companies are discovering tangible business benefits that go far beyond mere compliance.

The Business Case for Repairability

Microsoft's journey with its Surface line tells a compelling story. Early Surface products scored dismally on repairability scales - "a zero or a one on a scale of 10,” according to Matt Zieminski, VP of Partnerships at iFixit.com. Today, the latest generation scores an impressive eight out of ten. This dramatic improvement didn't happen overnight, but the benefits have been transformative.

"Once we started implementing... we started seeing huge returns," explained Colin Ravenscroft , senior manager at Microsoft. "We were able to realize there was a huge commercial market that we weren't able to address with our device sales." This included government customers and commercial clients who previously wouldn't consider their products due to repairability concerns.

The financial implications extend beyond new market access. Repairable products can reduce warranty costs, lower protection plan prices, and generate new revenue streams through parts sales and repair services. It's becoming what Colin describes as "a win-win-win situation" for companies, customers, and the environment.

Local Repair, Global Impact

Google's approach to repair illustrates another crucial evolution: the move from centralized to localized repair solutions. Rather than routing all repairs through factories in Asia, companies are building networks of local repair providers. This shift isn't just about convenience—it's about fundamentally reimagining the customer relationship.

"It becomes a very local and a very regional experience, which is a great opportunity to build relationships with your customers," notes Steven Nickel, Director of Consumer Hardware, at Google. This localization also has significant sustainability benefits, as repairs can focus on replacing only what's broken rather than entire devices.

The Data Advantage

Modern repair programs are increasingly data-driven, with companies using analytics to predict failures before they occur. Toast, a restaurant technology provider, is pioneering the use of machine learning to anticipate device issues: "We have access to all our devices that are out in the field. If you can send in the part or send a message to that customer saying we're gonna send a tech out before the customer even realizes that, I think there's real value in that" said Sal Zaman, Senior Director of Logistics and Hardware Procurement at Toast.

This predictive approach represents the next frontier in repair services, potentially preventing failures before they impact customers. However, companies acknowledge they're still building the infrastructure to fully leverage this data potential.

Security in a Repairable World

One of the most significant challenges in implementing repair programs is maintaining security, particularly for devices handling sensitive information. Google's introduction of "repair mode" exemplifies how companies are innovating to solve this challenge. This feature allows repair technicians to work on devices without requiring data wiping, dramatically improving the customer experience while maintaining security.

However, Google’s approach is not a one-size-fits all solution. Sal explained that, when repairing or refurbishing anything that takes a credit card, PCI data security standards need to be maintained. Any vendor Toast contracts with to refurbish these devices needs to be PCI-certified, and any compliance issues with the repair and data security could put Toast’s own PCI certification at risk.

The Future of Repair

Looking ahead, industry leaders envision repair becoming increasingly mainstream. "I really want to see a future where you can get into where it's not just a niche market, but you make products so repairable that if customers want to replace like a display or a battery, they can do that," says Colin.

This mainstreaming of repair is expected to follow a "trickle-down effect" - starting with high-end products and gradually extending to more affordable devices and accessories. Additionally, the rise of "hardware as a service" models, particularly in B2B contexts, is likely to make refurbishment and repair even more critical to business operations.

The Bottom Line

The shift toward repairability isn't just about meeting regulatory requirements - it's about recognizing that repairability can be a competitive advantage. Companies that embrace this change aren't just preparing for future legislation; they're building stronger customer relationships, opening new market opportunities, and creating more sustainable business models.

As Sal puts it, "It's not just an ESG type of activity or a cost reduction type of activity. It has to be part of the product strategy." This strategic approach to repairability is reshaping how companies design, manufacture, and support their products - and in the process, it's creating a more sustainable and customer-friendly future for consumer technology.