January 2005 — Industry Perspective
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Making the Most of Less
Refurbished Technology Provides a Sensible Way to Deal With Ongoing Budget W'es
Riddles are time-honored educational tools used to entertain students while teaching them the value of critical thinking. They often require the kind of outside-the-box inductive and deductive reasoning that is so valued in the business world today. Now, those same educators who talk about two coins adding up to 35 cents are being presented with their own riddle by the state and federal governments. And solving it isn’t just a matter of pride; it’s a question of survival.
The No Child Left Behind Act and numerous movements demanding “adequate” spending to equalize education for students are pressuring schools nationwide to greatly increase the amount of technology available to students in everyday classrooms. Adding to the pressure, colleges are expecting students to enter with a certain level of office document and Internet searching skills. Many employers are seeking these same skills from those entering the workforce as well.
At the same time, however, state budget cuts have made less funding available for schools in general, limiting the amount of new technology that can be acquired. Total education spending per capita, as a percentage of the gross domestic product, is lower now than in the 1960s, according to the Education Commission of the States. Four years of a down economy make it even more difficult than usual to obtain funding for technology initiatives. Voters worried about salary cuts or losing their jobs are reluctant to pay another nickel in property taxes if they can avoid it.
The solution to this riddle of how to acquire more technology on a limited budget is one that’s often overlooked: used and refurbished corporate computing equipment. The fact is that districts can double or triple the amount of computer equipment they purchase by going with used rather than new gear. So why don’t they?
There are a number of reasons: some based on past facts, others on preconceived notions that buying anything but new gear puts the district in a bad light. Let’s examine the perceptions versus the realities of used and refurbished equipment so school boards, administrators, technology committees and educators can make more informed decisions.
Perception 1: Used = Old and Obsolete
At one time this was mostly true. Many of the first computers in a school district were donations from families who upgraded their home computers. But huge technology jumps, such as the move from DOS to Windows or from the Apple IIe to the Macintosh, made those donations inadequate for any practical use.

Today, however, there is a well-established secondary market for used computer equipment. While Moore’s Law (i.e., processing power will double every 18 months) is still in effect, for many operations such as word processing, e-mail and Internet searches, it has reached the point of diminishing returns.