IBM also may benefit if computer recycling becomes mandatory in the US, as it is in Germany, O'Brien said. Japan's mandatory PC recycling law takes effect this year.
This month, IBM plans to announce a yet-to-be-named service for recovering more used gear that was sold, not leased, Lane said. IBM can take computers on consignment so the profit can be shared with the seller, he said. IBM itself saves tens of millions of dollars a year by plucking used spare parts for its own computers, Lane said.
IBM tries to keep the turnaround time and labor costs of refurbishing used computers low. In Raleigh, bar codes on each item and supply-chain software let IBM automate tracking. Software is used to confirm a computer's internal configuration, erase all old data and test refurbished units.
Later in the process, "optimization" software helps IBM decide what price to sell used machines and parts for, based on market conditions and the product's condition.
"It's an impressively complicated reverse-logistics problem," Derome said.
Many used items come with a 90-day guarantee.
After stripping usable parts and recycling glass, metals and plastics, IBM discards about 4 percent of what it collects, Lane said.
In 2000, about US$100 million in sales of used goods came through IBM's auction Web site, which is limited to screened buyers. That level probably doubled last year, Lane said. In January, a "catalog" of fixed-price items will be added to this site, he said.
Other fixed-price sales to individual consumers come on IBM's open Web site, and the company has an arrangement to auction computers on EBay.com.
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