Radiowell, America’s leading authority on the value of used radio equipment, released more findings from its 2023 market research. The latest opinion, which was based on the analysis of thousands of used-radio transactions, ranks the best channels for government agencies to sell their used, surplus, and end-of-life radio communications equipment. The analysis reviewed transaction prices and other important factors like risk, compliance, and resource requirements.

The below ranks selling channels from highest to lowest financial return:

 

Government agencies have many options for the disposition of their surplus radio equipment.  While there will always be exceptions, we encourage them to begin the disposition process by contacting nearby government agencies for an offer.

About Radiowell

At Radiowell, our purpose is to reduce the environmental impact of decommissioned radio equipment. It began as a passion project and evolved over the last 25 years to us becoming the largest buyer of used radio equipment in America. As a conscience-driven company, we’re committed to keeping unneeded, outdated, or unwanted two-way radio equipment out of our nation’s landfills. As such, Radiowell repurposes decommissioned radio equipment for parts and donations. Interested entities may contact us  to sell their surplus used radio equipment.

Source: https://www.prnewswire.com/news-releases/radiowell-ranks-the-best-places-to-sell-government-radios-302137428.html

NEW YORK, Jan. 10, 2024 /PRNewswire/ — Radiowell, America’s largest buyer of surplus and used two-way radio equipment, forecasted a correction in used-radio prices in 2024. The company cautioned that industry headwinds will cause prices to recede to historically low levels, well below the post-COVID spike experienced in 2021–2022.

Many public networks have transitioned to P25 Phase 2 (TDMA) – or have plans to do so. This means that existing P25 equipment is obsolete and cannot be repurposed. “Like many emerging technologies, the initial transition to TDMA was slow, but now it’s quick and reached critical mass,” explains Radiowell spokesperson, Andrew Park. “In addition to the sunsetting of P25, we are also seeing new DMR standards emerge, thus rendering old equipment obsolete at the quickest pace in recent memory.”

Another headwind comes from radio parts availability. Post-COVID supply constraints have eased significantly, with many supply chains returning to normal as chip and other shortages end. Some manufacturers have surplus inventory while others have transitioned to a new normal of reduced or “disciplined” production. While there are exceptions, they are mostly by manufacturers focusing on more-profitable production and allocating lower priority to less profitable parts. But in any scenario, the long backorders seen in 2021-22 ended in 2023.

2024 also brings the planned obsolescence of popular models from major manufacturers. Many once-coveted models can no longer be repaired or maintained, encouraging equipment owners to abandon them as quickly as possible. “Long gone are the days of long-tail analog life cycles…now product cycles are more like iPhones,” explains Park.

And worthy of noting, Radiowell forecasts “subscription as a service” models further depressing prices. These SaaS models are similar to cellular phone contracts, restricting access to only certain radios and rarely allowing use of a client’s existing equipment.

There will be a flood of unusable equipment in 2024, making it the worst year for values in recent memory. Park explains, “We caution anyone with capital at risk to reevaluate their exposure to what will be a difficult environment in 2024 and likely beyond. Lenders and finance companies should consider accelerated depreciation, asset markdowns, and other asset valuation techniques.”

Companies and government agencies seeking solutions for their used radio equipment should complete the Sell Used Radios form to learn how their decommissioned radios can be repurposed for maximum value and environmental impact. Radiowell specializes in asset disposition of used radios.

About Radiowell

25 years ago, we created Radiowell as a passion project. Today, Radiowell is the number one rated buyer of used radio equipment in North America. Radiowell continues to be best place to sell used radio equipment due to its commitment to environmental responsibility. By purchasing both excess and outdated equipment, we reduce the strain on America’s landfills, ensuring that equipment is repurposed as often as necessary for a more sustainable planet. Radiowell takes pride in acquiring, repairing, redistributing, or recycling unneeded two-way radio equipment to achieve the healthiest impact for all stakeholders.

Kenwood Communications is recognized by Greenwich Radios for having the highest resale values of a land mobile two-way manufacturer. Greenwich Radios is the leading wholesaler of used radios in America.

GREENWICH, Conn., Oct. 11, 2022 /PRNewswire/ — Greenwich Radios, America’s largest wholesaler of used two-way radio equipment, awarded Kenwood Communications with the highest resale values for 2022. This inaugural award recognizes that Kenwood has the highest resale values of the major land mobile radio manufacturers in North America. Owners of Kenwood equipment should expect favorable prices if they decide to sell their equipment in the secondary used market, explains Larry Sellers, a spokesperson for Green Wich: “The tailwinds in today’s market support high resale values for Kenwood equipment, especially for models in short supply on the new side.”

To determine resale values, Greenwich data scientists analyzed thousands of radio transactions using public and private data and the company’s proprietary valuation algorithm. Private data includes Greenwich’s wholesale transaction data and pricing from participating dealers, as well as inquiries from the sell used radios form on the company’s website. Public data includes government auctions, online auction sites, and third-party sources such as data scrubbing. Only radio equipment manufactured on or after 2011 was included.

Data scientists found that some Kenwood products in the used marketplace were sold at prices that exceeded new. This was especially true for products which were recently discontinued by Kenwood but are still sought by end users and radio dealers. While Kenwood won the first-ever highest resale value award for a two-way manufacturer, Larry Sellers explains this might change next year as new-radio supply improves.

According to Sellers, there were three primary reasons for Kenwood’s 2022 resale leadership:

• Limited supply of new product forced many Kenwood clients into the secondary resale market, which drove up used prices
• Kenwood products feature lower MSRPs than some of their competitors, thus lowering depreciation
• Kenwood’s higher-end digital products offer less upgradable features; this limits new pricing and lowers depreciation

Secondary reasons:

• Kenwood’s digital product line is increasingly sought by new buyer types, including public safety agencies
• Kenwood’s large dealer network, and established brand, comforts used radio buyers who know they can obtain technical and programming support if needed
• For do-it-yourself (DIY) programmers, ready access to programming software and cables helps to ensure the radios can be reprogrammed

As far as Kenwood’s competitors, Larry Sellers explained that Motorola remains the most in-demand brand for two-way radios. However, Motorola’s diverse product line includes expensive options on its top-of-the-line models which are not recovered in the used market. These options might be necessary for the radios’ first owners but recouping their value in the used marketplace is difficult as used buyers generally have basic needs. Incidentally, it’s worth nothing that on a model line basis, Motorola’s APX series is the most sought according to Greenwich. Scientists also analyzed transaction data for radios manufacturers like Harris, Tait, Icom, Hytera, and others, and plan to release more industry insights in the future.

Why are resale values important for two-way radio manufacturers?

While most buyers of two-way radios buy equipment for multi-year or end-of-life terms, the rise of digital technologies is forcing quicker turnover of radio equipment as technology changes. Existing radio buyers may sell their equipment to help pay the costs of technology upgrades, especially for multi-band.

Additionally, as a result of environmental laws and social pressure, corporate and government radio end users are demanding environmentally responsible means to repurpose radio equipment – rather than send them to the trash or electronics recyclers. High resale values help these organizations achieve their environmental impact goals. Greenwich Radios, with its steadfast commitment to environmental responsibility, plants one tree in America’s National Forests for each radio the company purchases.

For more information on the resale award, members of the media, financial analysts, and others, can email larry@greenwichradios.com.

About Radiowell

25 years ago, we created Radiowell as a passion project. Today, Radiowell is the number one rated buyer of used radio equipment in North America. Radiowell continues to be best place to sell used radio equipment due to its commitment to environmental responsibility. By purchasing both excess and outdated equipment, we reduce the strain on America’s landfills, ensuring that equipment is repurposed as often as necessary for a more sustainable planet. Radiowell takes pride in acquiring, repairing, redistributing, or recycling unneeded two-way radio equipment to achieve the healthiest impact for all stakeholders.