Circular Economy or Marketing Hype? How to Assess Your Tech Supplier's Claims

 
Introduction: The Circular Economy Promise – Reality or Marketing?

With the IT industry facing increasing scrutiny over sustainability, more companies are branding themselves as champions of the circular economy. Tech giants, from hardware OEMs to suppliers, promote their “eco-friendly” initiatives. Yet, as the demand for sustainable solutions grows, so does the prevalence of greenwashing—where claims of circularity are overstated or misleading. This blog aims to help you cut through the hype by equipping you with measurable criteria to assess whether your tech supplier is genuinely committed to the circular economy or merely indulging in marketing spin.

 
Section 1: Why Circular Economy Principles Matter in IT

The IT industry produces a staggering amount of waste and embodied carbon. In addition to generating e-waste, manufacturing IT hardware is resource-intensive, requiring significant amounts of rare metals and energy. Embracing a true circular economy approach—one that emphasizes the reuse, refurbishment, and responsible handling of end-of-life products—can reduce waste, conserve resources, and lessen environmental impact.

Yet, all too often, circular economy commitments from tech companies focus on marginal changes, like recycled packaging, which make a negligible difference in the overall CO2 footprint of products. Packaging improvements have their benefits, but compared to the carbon footprint of the entire manufacturing process, these changes barely scratch the surface. That’s why it's essential to evaluate tech suppliers beyond the surface-level claims.

 
Section 2: Key Indicators of True Circular Economy Engagement

For a tech company’s circular economy efforts to be more than marketing hype, they should be able to provide clear, measurable metrics in the following areas:

Transparency in Material Sourcing and Usage

What to Look For:
Suppliers should provide data on the sourcing, usage, and recovery rates of raw materials in their products, including valuable minerals like copper and silver.
Red Flags: Beware of statements that are vague or lack specifics. If a company claims “sustainable sourcing” but doesn’t specify quantities, sources, or recovery rates, they may be concealing inefficiencies.
CO2 Footprint Analysis: Packaging vs. Product Manufacturing

The Reality: Packaging materials, while often highlighted in sustainability reports, represent only a minor share of total product emissions. The majority of the CO2 footprint arises from raw material extraction and the manufacturing process.
Red Flags: Overemphasis on “sustainable” packaging without addressing the vastly larger manufacturing footprint is a sign of greenwashing. Look for companies that also focus on reducing emissions within the manufacturing process itself.

Commitment to Reuse and Refurbishment

What to Look For: True circular economy leaders prioritize refurbishing and reusing products. Metrics should indicate that a significant portion of products are refurbished, repurposed, or redirected into secondary markets.
Red Flags: Companies that tout high recycling rates without providing data on reuse and refurbishment often send much of their hardware to e-waste facilities, which misses the circular economy mark.
Responsibility in E-Waste Handling

What to Look For: Detailed end-of-life management, including transparent reporting on where and how returned products are processed, shows real commitment. Clear metrics on material recovery from e-waste can indicate that they’re not just offloading it.
Red Flags: Be cautious with companies that have vague policies on e-waste handling. Claims like “products are responsibly recycled” without details often indicate a high percentage of materials ultimately end up as waste.
Lifecycle Extension Efforts and Upgradeability

What to Look For: Companies should offer products designed for longevity, with upgradeable components and extended support services.
Red Flags: Suppliers who frequently release new product lines with minimal backward compatibility or support often lack commitment to lifecycle extension, driving early obsolescence instead of sustainability.
 

Section 3:
Exposing Common OEM Greenwashing Statements

To illustrate some of the misleading claims made in the name of circularity, consider the focus many OEMs place on “eco-friendly” packaging. Cisco, for example, emphasizes sustainable packaging yet sends nearly 88% of returned equipment to recycling, not refurbishment or reuse. This is despite the fact that recycling consumes energy and only partially recovers raw materials, generating additional CO2 emissions along the way.

Additionally, many OEMs emphasize the percentage of recycled plastic used in their products but remain silent on their use of rare metals like silver, copper, and palladium. These metals have high CO2 costs associated with their extraction and refining, yet companies often fail to report on how much is recovered and reused from end-of-life products. For a company truly committed to the circular economy, such transparency would be essential.

 Section 4: A Better Approach – The Recirc IT Difference

At Recirc IT, we believe that genuine engagement in the circular economy goes beyond packaging and marketing claims. Here’s how our approach differs:

Delaying the Onset of New Hardware: Through third-party support, maintenance, and asset management, we extend the lifecycle of IT equipment, reducing the demand for new production. By delaying new hardware purchases, we reduce the embodied carbon impact of each product.

Repurposing and Reusing IT Equipment:

Our focus is on keeping hardware in circulation through refurbishment and repurposing. This approach minimizes waste and conserves resources, offering clients reliable, pre-owned hardware options without compromising on quality or performance.
Transparent and Responsible E-Waste Management:
Recirc IT provides clear, verifiable data on how end-of-life products are managed. Unlike other providers, we handle all e-waste domestically, ensuring ethical and sustainable processing with no ambiguity about what happens to retired equipment.
Data-Driven Impact Reporting:
To help clients understand their contribution to sustainability, we offer transparent reporting on the impact of our circular practices. From CO2 savings through lifecycle extension to metrics on material recovery, we ensure that clients have hard facts supporting their sustainability efforts.
 

Conclusion:

Making Informed Choices in the Circular Economy

In a world where sustainability is increasingly in demand, it’s essential to look beyond surface-level claims and examine what’s truly happening with the products and materials you invest in. By understanding the metrics behind circular economy claims, companies can make informed decisions, selecting partners who genuinely prioritize reuse, responsible resource management, and transparency.

At Recirc IT, we’re committed to helping companies meet their sustainability goals with tangible, measurable impact. If you’re ready to move beyond the marketing hype and explore real circular economy solutions, we invite you to reach out and discover how we can support your sustainability journey.