Cistor named as supplier on Crown Commercial Service’s TePas 2
Hardware leasing v Hardware as a Service: What’s the difference and how can they be more sustainable?
With the introduction of our new Sustainable Hardware as a Service offering, we thought we’d breakdown the different types of IT ownership models that are available. Our quick overview should give you a basic understanding of each of the models, but for more information, please get in touch with a member of the team.
Outright Ownership
The one that most IT teams are familiar with. You buy your kit directly from a vendor such as Cisco or through a partner and take ownership for the maintenance, upgrades and decommissioning yourself.
From a finance perspective, owning the asset means that it is classed as a capital expenditure. Overtime the value of hardware will depreciate and will become more expensive to maintain.
This model is great for businesses that want complete control of their hardware and have teams in place to run updates and maintenance. However, the upfront costs associated with purchasing hardware, as well as those associated with ongoing maintenance can lead to businesses looking at alternative models of ownership.
Hardware Leasing
In this instance there is a financial agreement in place with another company to supply you with the hardware. Think of it as renting your routers and switches, as opposed to owning them outright. At the end of the agreement, the equipment typically goes back to the leasing company, although some lenders will offer you the option of purchasing the equipment via a balloon payment.
Leasing often comes with options to wrap support and maintenance into the contract, if this isn’t the case then you will need the resource in place to do this yourself.
This model allows businesses to access hardware without the need for a large upfront cost as payments are spread. However, as a there is a financial transaction taking place on a physical asset, this can still have capital expenditure implications.
Hardware as a Service
The Hardware as a Service (HaaS) model differs from leasing in that you are consuming the hardware as part of a service. In a similar model to how businesses consume software (SaaS) or cloud (IaaS), you are paying for access to the hardware, meaning the ownership of the product remains with the business you are taking it from.
Like leasing, obtaining the networking hardware you need for your business becomes easier as there are no upfront costs. At the end of the services, the hardware then goes back to the supplier.
As this is a service, the supplier is responsible for the upgrading, maintenance and support of the hardware. If something breaks, they will be on the hook to replace it for you. Because they are taking hardware back out of other businesses, this could mean that the kit you receive isn’t always brand new and has been through a remanufacturing process instead.
From a finance perspective, this is now an operational cost as you don’t own the hardware and no financial transaction takes place for the asset directly. This makes this model of ownership great for customers who offer consumable services to their customers and are looking to mirror this operational model themselves, or who are looking to reduce the number of fixed assets that they own.
Sustainable Hardware as a Service
Building on the HaaS model, we developed our Sustainable Hardware as a Service. We own the asset and provide fully managed shipping and “white glove” product recovery services. This is backed with Cisco’s full manufacturer warranty and Smartnet support, covered throughout the period of the service. However, we’ve designed the solution in a way that embeds both sustainability and customer value at its core.
We take a customer’s Cisco requirements and analyse the solution to identify opportunities to blend in Cisco Refresh, Cisco’s fully certified remanufactured equipment. This approach gives you access to the latest and great new equipment with the traditional value achieved from remanufacturing. This means you are reducing your Carbon impact via a cost-efficient solution that doesn’t come with any technical trade off.
We then provide a financial wrapper using Cisco Capital’s Green Pay solution. Cisco Green Pay is an award winning financial solution that ensures Cisco products are sent back to Cisco as part of the service lifecycle and supporting Cisco’s world leading sustainability objectives for 100% product takeback.
Finally, through our detailed product research, you gain access to comprehensive ESG and carbon impact metrics throughout the product lifecycle. From day one you have visibility on the role that remanufactured IT is having in helping your business achieve it’s ESG commitments.
Platinum standard achieved for ecovadis rating
As organisations look to align their procurement practices with their sustainability targets, many use external certification bodies to review how their suppliers perform against set criteria.
One of our longest standing clients, Colt Technology Services asked that we complete an EcoVadis assessment as a way for them to review their supplier’s sustainability performance.
It’s been a really useful exercise as we received feedback that outlines our strengths and shows areas for improvement. The tool also provides the ability for us to benchmark our sustainability performance amongst our industry peers.
We were delighted to have scored 78/100 which ranked us in the top 1% of all companies globally.
1%
Cistor are within the top 1% of all companies globally who participate in these assessments.
Getting Started with Remanufactured IT
Research from Gartner predicts that 80% of hardware vendors product portfolios will come from circular initiatives by 2030, up from 20% in 2023. This means you’ll be getting more of the latest and greatest tech and networking hardware without needing to buy new every time.
Which is where remanufacturing comes in.
80%
of hardware vendors product portfolios will come from circular initiatives by 2030
What is Remanufactured IT?
Put simply, remanufactured IT is preowned equipment that has been restored to like-new condition, often with the same warranties and guarantees. It's a great way to save money, reduce your environmental impact, and get the same performance as new equipment.
Cisco’s Refresh programme is a great example of this. They take preowned technology, such as switches that have been returned by customers and test them for functionality and possible defects.
Any worn components are replaced and any data stored is safely deleted, so you get hardware that matches the stringent manufactured standards of like new. Just like when you buy a car from an approved dealership, the hardware is then supplied good-as-new with the manufacturers full warranty and associated software licenses.
OK, got it. Why would I use it in my Network infrastructure over new though?
There are many reasons why your company should use remanufactured IT. Here are a few of the most important:
Cost
Let’s not beat around the bush, buying remanufactured IT is cheaper. We typically find our customers save between 20-30% by buying Cisco authorised Refresh through us. At a time when businesses are under pressure to reduce costs, this makes it the ideal way for IT departments to do so, without having to compromise on performance or piece of mind.
Supply Chain
IT hardware goes through a long and winding journey from raw materials to your network. This makes it vulnerable to supply chain disruptions, which can cause delays and headaches. Remanufactured IT skips some of these steps, so it's less likely to be affected by supply chain issues.
The Cisco Catalyst 9000 range is a perfect example of how remanufactured IT can solve supply chain issues. When Cisco struggled to source components during Chipogeden, lead times for new products extended daily. But thanks to our Intelligent Supply Chain offering, we were able to help our customers get as good-as-new CAT9K hardware in just a few weeks.
It’s twice as nice for the environment
Utilising remanufactured IT is great for the environment for two reasons. Firstly, hardware such as switches is often so well produced that it is difficult to recycle, by utilising hardware that has already gone into circulation, you’re extending it’s life span and reducing the amount of e-waste you are creating.
Secondly, by choosing remanufactured hardware you are avoiding the production of a new bit of kit, meaning there’s less of an impact on your Scope Three emissions and the environment as a whole!
In fact in a study carried out with our customers, Colt, we found that by using remanufactured IT in a five year period they avoided:
22.6 tonnes of ewaste avoided
1,012 tCO2e saved
That’s the equivalent of three Boeing 747 jets!
Interested? We thought you might be
Introducing remanufactured hardware into your IT network can seem daunting. We offer network discovery sessions for anyone considering it. We’ll look at your current infrastructure and work with you to identify the best places to start, sharing supply chain insight along the way.
Cisco Data Centre Network: Considerations in 2025
At Cistor, we continue to see significant demand for Cisco Data Centre Network solutions—especially in hybrid and managed cloud environments. These networks remain crucial for organizations that require a balance between modern cloud flexibility and legacy infrastructure control. This blog explores the current state of enterprise-scale Data Centre Network architecture and highlights the top three solutions businesses are investing in today.
Cisco Data Centre Network Solutions Shaped by Innovation and Acquisition
Over the past decade, three primary solutions have emerged in the Data Centre Network space: Cisco ACI, VMware NSX-T, and Pensando Smart NICs.
Cisco ACI was born from the acquisition of Insieme Networks. This full-stack solution is now a staple in enterprise networking. VMware NSX-T, originally developed by Nicira, offers a flexible overlay architecture that works across different hardware vendors. Lastly, Pensando, now part of AMD, introduces Smart NIC-based SDN, bringing innovation closer to the workload.
Cisco ACI: A Proven Data Centre Network Architecture
Cisco ACI offers a robust Data Centre Network architecture that includes switches, controllers, and software. Using a Spine-Leaf Clos topology, ACI provides high-speed connectivity between workloads. The architecture supports Layer 2 and Layer 3 overlays, micro-segmentation, and consistent policy management across private, public, and hybrid clouds.
With seven years of maturity, ACI remains a trusted platform. Its ability to support bare metal workloads and native zero-trust security makes it a preferred choice. That said, it may not be ideal for smaller environments or businesses seeking vendor-neutral solutions.
NSX-T vs ACI: Key Differences in Cisco Data Centre Networking
One of the key differentiators between NSX-T and Cisco ACI lies in hardware dependency. NSX-T is hardware agnostic and works with network fabrics from vendors such as Arista, Juniper, and HPE. Its SDN overlay includes switching, routing, security, micro-segmentation, and load balancing (via the AVI Networks acquisition).
While NSX-T offers vendor flexibility and integrates tightly with VMware hypervisors, it lacks native support for bare metal workloads. Cisco ACI maintains an advantage in environments with legacy systems and storage requirements.
Broadcom's Acquisition of VMware: A Cloud of Uncertainty
The upcoming Broadcom acquisition of VMware brings significant uncertainty to the Data Centre Network ecosystem. Broadcom has a history of maximizing profit by cutting costs and raising prices. While some believe this acquisition will strengthen Broadcom’s software portfolio, others are cautious about its long-term impact on innovation and support.
Pensando: A Smart NIC Alternative for Cisco Data Centre Networks
Pensando offers a new approach to Cisco Data Centre Network design with Smart NICs. These devices implement switching, routing, and policy enforcement directly on the NIC. Benefits include reduced reliance on expensive hardware and faster policy execution near the workload.
Despite the promise, many IT teams—including ours—are still learning how to integrate Pensando effectively. As adoption grows, we expect more clarity and best practices to emerge.
Our Cisco Data Centre Network Recommendations
At Cistor, we tailor every recommendation through a thorough Network Discovery process based on individual customer requirements. While Pensando continues to evolve and VMware’s future remains uncertain under Broadcom, we remain focused on Cisco ACI as our primary investment in enterprise-scale solutions.
Cistor achieve Cisco’s new Environmental Sustainability Specialisation
As one of the largest Circular Economy Partners to Cisco in Europe, we’re delighted to have been awarded the recently launched Cisco Environmental Sustainability Specialisation.
Members of our team completed training set by Cisco and successfully passed an exam designed to strengthen our role in actively supporting Cisco’s sustainability pledge for product returns.
This certification confirms that:
We’re helping customers achieve their sustainability goals by using authorised remanufactured IT through Cisco’s takeback and reuse programme
We’re partnering with Cisco and our customers to keep technology in use for longer through returning, reusing and redeploying technology aligned to circular economy principles.
The Take Back Initiative ensures that technology is used for its full life
It’s also further recognition of the significant role we play in Cisco’s global initiative to responsibly repurpose or recycle end of use equipment to ensure that the technology that already exists, is used for longer.
Over the last fourteen years, Cistor has partnered with Cisco to keep technology in use for longer. As a key strategic circular economy partner in Cisco’s Refresh programme, we have utilised Cisco Refresh Technology in IT contracts around the world - including in Banks, the London Stock Exchange, International Service Providers, Government Departments, Universities, Businesses and Mobile Technology Companies.
Increasingly, we see organisations deep-dive into their environmental and social impact. The conversations we have with our clients is changing. Of course, organisations need technology to deliver continuity, to be secure, to be cost effective and to be resistant to supply chain challenges. However, the biggest change we are seeing is that organisations are now questioning how IT can align with their wider business sustainability goals such as eWaste, the circular economy and finite resource protection. Our Sustainability IT Consultancy offers support for organisations that crave this alignment.
Cisco Refresh provides our customers with the reassurance that the technology they are using is supplied with the same warranties and licences as new, and with the same SmartNet support. The bonus is that by utilising technology that already exists, our clients reduce eWaste and climate impact by not having to purchase brand new technology.
