Hardware as a service (HaaS) is a way to keep your computer and networking hardware up to date through a subscription instead of purchasing equipment. Just as many organizations have turned to software as a service (SaaS) to access applications, HaaS is regarded as a viable alternative to procuring, managing, and maintaining computer equipment. It’s an option that takes what has traditionally been a capital expense and turns it into an operating expense, but organizations also want to know how much HaaS costs.
Comparing the cost of HaaS with the costs of traditional hardware procurement is like comparing a meal you buy at a restaurant with a meal you make at home yourself. The ingredients might all be the same, but the food you get at a restaurant has added value because you didn’t have to do anything to get the meal on the table.
When you cook at home, you must plan, purchase, and prepare the food before you sit down and enjoy the meal. Then, you must clean up afterward. When you eat at a restaurant, the staff takes care of everything. Not only do you save time, but the meal is also a more enjoyable experience—an experience you’re willing to pay more for, above and beyond the cost of the food.
Just as buying ingredients for a meal will take less money out of your pocket than going to a restaurant, purchasing computer hardware outright will always be the cheaper option compared to HaaS. However, when you consider all the costs associated with hardware beyond the purchase price, the total cost of ownership is going to be about the same.
HaaS Value Beyond Total Cost of Ownership
Comparing the total cost of ownership for HaaS with purchasing hardware outright doesn’t consider the additional value that HaaS brings to organizations. Avoiding capital expenditures frees up cash for other strategic investments. Yet, the benefits extend beyond financial flexibility.
HaaS is a way to make your organization more agile, flexible, and responsive. To understand all HaaS has to offer, consider these additional benefits:
- Scalability and Flexibility: Efficient hardware deployment enables organizations to quickly respond to changing workloads, opportunities, and growth.
- Comprehensive Maintenance and Support: Maintenance is handled, warranty issues are addressed, and replacement equipment is provided when necessary.
- Simplified Hardware Lifecycle Management: From procurement to decommissioning, the entire hardware lifecycle is managed.
- Increased Operational Efficiency: Access to the latest hardware and support boosts operational efficiency, minimizing downtime and enhancing productivity.
📖 Related: What is Hardware as a Service?
Let’s break down the costs to give you a better understanding of how monthly subscription prices for HaaS are determined.
Subscription Term and Hardware Package Determines Pricing
The monthly subscription fee for HaaS agreements is based on what’s included in your equipment package and the term of the subscription. The lower the term, the higher the subscription price. For example, you may pay $72/month for an equipment package for 36 months. If your term was 60 months, it could be $47/month for the same equipment.
Most HaaS providers offer a collection of equipment in a package. A package includes everything a person needs to get up and running—typically a laptop or workstation, dock, keyboard, mouse, and monitor. Your provider should work with you to create a standard bundle that will meet most of your employees’ needs. Depending on the different needs of your workforce, you may also opt for a non-standard bundle for executives or users who need something different such as extra computing power or graphics capability.
It’s inevitable that some employees might need slight adjustments to what’s included in the package. It should be possible for you to pull apart packages if someone doesn’t need a component such as a monitor. However, efficiencies are built into the predefined bundles that you won’t experience if you stray too far from the package.
Price Range for Workstation and Laptop Packages with HaaS
- Standard User: $30/month – $110/month for a computer and peripherals.
- Non-standard User: $64/month – $120/month for a computer and peripherals.
Price Range for Networking Equipment
Pricing for networking equipment such as firewalls, routers, Wi-Fi access points, switches, or servers is a little more difficult to determine. The range can vary wildly, from $5/month for a wireless access point to $300/month for a server. Instead of offering a set package, the provider may work with you to create a custom bundle that meets your unique needs.
What’s Included in Subscriptions?
- Ordering and Vendor Management: When you get computer equipment through HaaS, you get a streamlined procurement and installation process. The provider will work with vendors to order the equipment and acquire any software licenses that are needed.
- Software Licensing and Installation: The HaaS provider will install everything according to user profiles that detail the needed applications and permissions for each job role. When the equipment arrives, it’s ready to go.
- Shipping and Delivery: Included in the HaaS price is shipping to your facility or to your employees’ remote locations. Depending on the circumstances and the number of computers delivered, the HaaS provider may install the equipment onsite for you. Alternatively, they’ll provide assistance from a technician over the phone to talk people through how to deploy their equipment.
- Training and User Support: HaaS providers can provide orientation to employees about the use of their equipment and ongoing technical support when issues arise.
- Maintenance and Replacement: The HaaS provider offers both preventive maintenance to keep hardware at optimal performance and replaces hardware when needed.
- Disposal and Renewal: The provider handles the hardware decommissioning process, starting with the shipping or pickup of old equipment. At the end of your HaaS Term, you can renew and the provider will cover the replacement of the old machine and the installation of the new machine. Or you can give the device back.
📖Related: Weighing the pros and cons of HaaS
Eat Out or Cook at Home—Which Hardware Management Choice Is Right for You?
Whether you’re eating out or cooking at home, both options get the job done. But how you get fed is very different. Like a fine restaurant experience, HaaS adds considerable value beyond the basic ingredients of hardware. It eliminates the need to be involved in every step of the procurement process and instead offers a prepared solution where everything from setup to maintenance is handled for you.
Like dining out, HaaS might seem more expensive than traditional hardware procurement if only the cost of ingredients is considered. However, when you consider the time and effort involved in managing and maintaining that hardware over its lifecycle—much like considering the planning, effort, and cleanup after a home-cooked meal—the total cost of ownership aligns closely with HaaS.
HaaS is not just a convenient choice but also a strategic one. It helps organizations stay up to date with technology and remain operationally agile, all while managing costs effectively. Most importantly, it frees you to focus on what you do best.