Hardware as a Service: What It Is and Why Your Organization Needs It

Four-minute read

Owning and managing technology and keeping up with the latest developments can be stressful and costly. Many enterprises have turned to the Hardware-as-a-Service (HaaS) model to manage their technology needs. 

When an organization invests in hardware as a service, they can access both the technology and the support for daily processes.

According to a 2022 marketing report from Research and Markets, by 2027, HaaS is expected to reach about $116 billion USD by 2027, which is a massive increase compared to 2021’s approximately $61 billion USD total. With the growing need for IT solutions, it is no surprise that 48% of organizations in North America are already leasing specific hardware types. While IT teams often acquire this model, retail and wholesale, education sectors, manufacturing and even healthcare are adopting this service. 

Below we look at what HaaS exactly is and how it can make your life so much easier.

What is It?

HaaS is a service-based business model where an end-user pays for the use of hardware that belongs to and remains the responsibility of a managed services provider (MSP). It involves a service-level agreement where the service provider installs the hardware at the customer’s site and then takes responsibility for monitoring, managing and maintaining the hardware systems. This can include both on-site and cloud-based services.

Customers are paying for both the use of the equipment as well as the services to maintain it.

The MSP will outfit their customer with appropriate technology like laptops, tablets and desktop computers. They will then provide essential services for the equipment, like IT support, cloud-based storage and hardware and software licensing.

HaaS Examples

Since HaaS can be used in a variety of sectors, the examples will vary. In the IT and nonprofit sectors, it can include leasing laptops, printers and even smartphones. In the healthcare sector, it could include leasing specific medical devices and even desktops as well.

Why Do You Need It?

HaaS allows you to concentrate on growing your enterprise without worrying about the maintenance of your IT infrastructure. It also eliminates the stress and cost of regularly upgrading technology as this is taken care of by the service provider. This includes keeping the hardware functioning and up to date and ensuring that licensing agreements are current.

How Will It Make Your Life Easier?

HaaS plans offer a budget-friendly alternative for organizations of any size, from small start-ups to large corporations. It frees up cash flow by reducing upfront capital expenses and lowering potential repair and maintenance costs.

HaaS can also lead to savings on staffing costs, potentially eliminating the need for an in-house IT support team. With a fixed monthly fee agreement in place, budgeting becomes more manageable. This can even lead to increased productivity and profitability for your business, with less time and money wasted on hardware upkeep.

Innovative Technology
The proactive nature of a HaaS plan offers businesses operational reliability and peace of mind and is an excellent way for enterprises to stay current. You can rely on your MSP to ensure your technology is up-to-date and tested to keep your operations and vital data safe. The service provider will also take responsibility for licensing, security updates, back-ups and recovery plans.

Finally, with built-in scalability, HaaS also helps your technology grow and change with your organizational needs.

HaaS Considerations

Overall, HaaS has can benefit an organization when it comes to workplace performance. However, there are some elements to consider.

You’re Dependent on the Internet
Internet outages can pause business operations. When an issue arises from your vendor, it’s up to them to fix it. You don’t have control over the status or the process of finding a solution.

Security and Privacy Risks
This is mainly a concern for cloud-based HaaS. If your entire IT network is outsourced, the maintenance is in the hands of your MSP. As robust as security forces may be, cyberattacks can occur, and you will need to trust in your MSP to rectify them.

Leaders of smaller organizations may feel overwhelmed when it comes to leasing a complete IT infrastructure. For some, a monthly or yearly fee may be too expensive.

Our HaaS Offerings

designDATA caters to your organization’s specific needs with modern solutions that keep your company on budget. We have recently upgraded our HaaS offering and are thrilled to offer five equipment profiles as well as upgrades and customization for each one. If you feel HaaS could be the right solution for you, let’s connect, and we will put you in touch with one of our HaaS experts today.


Let’s Connect