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How Companies Profit Off Unfixable Devices
In the age of rapid technological advancement, the concept of “planned obsolescence” has become increasingly prevalent. This practice, where products are intentionally designed to have a limited lifespan, forces consumers to replace their devices frequently. While it might seem like a necessary evil of technological progress, it has profound implications for consumers, the environment, and the economy. This blog explores how companies profit from unfixable devices, the strategies they employ, and the impact on society.
The Birth of Planned Obsolescence
The term “planned obsolescence” was first coined in the 1920s when industrial designer Brooks Stevens used it to describe the practice of intentionally designing products with a limited useful life. The idea was that by making products that would eventually become obsolete or non-functional, companies could ensure a continuous cycle of consumer demand.
One of the earliest and most infamous examples of planned obsolescence is the light bulb cartel of the 1920s. Major light bulb manufacturers, including General Electric and Philips, conspired to limit the lifespan of their products to 1,000 hours, down from an earlier standard of 2,500 hours. This ensured that consumers would have to buy new bulbs more frequently, boosting sales and profits.
Modern Manifestations
Today, planned obsolescence manifests in various forms, especially in the consumer electronics industry. Smartphones, laptops, and other gadgets are often designed with limited repairability, making it difficult or impossible for consumers to fix them when they break. This drives the cycle of purchasing new devices, thereby increasing sales and profits for manufacturers.
1. Non-Replaceable Batteries
One common strategy is the use of non-replaceable batteries. Earlier models of smartphones and laptops allowed users to replace the battery easily, extending the device’s life. However, modern devices often feature batteries that are glued or soldered in place, requiring specialized tools and expertise to replace. This design choice discourages repairs and encourages consumers to buy new devices when the battery inevitably degrades.
2. Proprietary Components
Another tactic is the use of proprietary components. Companies design devices with unique parts that are not available to third-party repair shops or consumers. This includes screws with unusual heads, custom connectors, and exclusive software diagnostics tools. As a result, repairing a broken device often requires going through the manufacturer or authorized repair centers, which can be costly and time-consuming. When faced with high repair costs, many consumers opt to buy a new device instead.
3. Software Updates
Software updates are another tool used to enforce planned obsolescence. Companies may release updates that are incompatible with older hardware, effectively slowing down or crippling older devices. This practice nudges consumers towards upgrading to newer models to enjoy the latest features and maintain optimal performance. For instance, many users of older smartphones experience sluggish performance after installing new operating system updates, making their devices feel outdated.
The Economic Incentive
For companies, the economic incentive behind planned obsolescence is clear. By ensuring that devices have a limited lifespan and are difficult to repair, manufacturers can create a continuous revenue stream from repeat purchases. This strategy is particularly effective in the consumer electronics market, where rapid advancements in technology create a constant demand for the latest features and improvements.
1. Increased Sales
The most direct benefit is increased sales. When devices break down or become obsolete, consumers are forced to buy new ones. This drives a steady flow of revenue for manufacturers. For example, smartphone companies like Apple and Samsung release new models annually, encouraging consumers to upgrade frequently.
2. Profit Margins on Repairs
In addition to increased sales, companies also profit from repairs. By controlling the repair process through proprietary components and authorized service centers, manufacturers can charge premium prices for repairs. This creates an additional revenue stream from consumers who choose to repair their devices rather than replace them.
3. Brand Loyalty
Planned obsolescence can also foster brand loyalty. By creating a cycle of regular upgrades, companies keep consumers within their ecosystem. For instance, Apple users are more likely to stick with Apple products because they are familiar with the interface and have invested in the brand’s ecosystem. This loyalty translates into repeat business and long-term profitability.
The Environmental Impact
While planned obsolescence is profitable for companies, it has significant environmental consequences. The constant cycle of purchasing and disposing of electronic devices contributes to e-waste, which poses a serious threat to the environment.
1. E-Waste Crisis
Electronic waste, or e-waste, is one of the fastest-growing waste streams globally. According to the Global E-Waste Monitor, the world generated 53.6 million metric tons of e-waste in 2019, and this number is expected to increase. E-waste contains hazardous materials such as lead, mercury, and cadmium, which can leach into the soil and water, causing environmental and health problems.
2. Resource Depletion
The production of electronic devices requires significant amounts of raw materials, including rare earth metals, plastics, and other resources. The continuous demand for new devices leads to the depletion of these resources, many of which are finite and difficult to extract sustainably. This not only strains the environment but also raises concerns about the long-term availability of essential materials.
3. Energy Consumption
Manufacturing new devices is energy-intensive, contributing to greenhouse gas emissions and climate change. The energy required to produce, transport, and dispose of electronic devices adds to the overall carbon footprint. By encouraging frequent replacements, planned obsolescence exacerbates the environmental impact of consumer electronics.
The Consumer Perspective
From a consumer standpoint, planned obsolescence is both frustrating and costly. The practice forces consumers to spend money on new devices more frequently than they might prefer, straining their budgets and creating unnecessary waste.
1. Financial Burden
The financial burden of replacing devices can be significant, particularly for low-income consumers. The high cost of new smartphones, laptops, and other gadgets can strain household budgets, making it difficult for some individuals to keep up with the latest technology.
2. Loss of Trust
Planned obsolescence can also erode consumer trust in brands. When consumers feel that their devices are designed to fail or become obsolete prematurely, they may become disillusioned with the manufacturer. This loss of trust can have long-term consequences for brand reputation and customer loyalty.
3. Repair Revolution
In response to planned obsolescence, a growing number of consumers and advocacy groups are pushing for the right to repair. The right-to-repair movement advocates for legislation that would require manufacturers to make repair manuals, tools, and parts available to consumers and independent repair shops. This movement aims to extend the lifespan of devices, reduce e-waste, and empower consumers to take control of their technology.
Regulatory and Legislative Actions
Governments and regulatory bodies are increasingly recognizing the negative impact of planned obsolescence and are taking steps to address the issue. Several countries have introduced or are considering right-to-repair laws to promote repairability and reduce electronic waste.
1. Right-to-Repair Legislation
Right-to-repair laws aim to give consumers and independent repair shops access to the necessary tools, parts, and information to repair electronic devices. In the United States, several states have introduced right-to-repair bills, and the Federal Trade Commission (FTC) has expressed support for the movement. The European Union has also implemented regulations requiring manufacturers to make repair information and parts available for certain appliances.
2. Eco-Design Requirements
The European Union has introduced eco-design requirements that mandate manufacturers to design products with repairability and recyclability in mind. These regulations require devices to be easier to disassemble, repair, and recycle, reducing the environmental impact of electronic waste.
3. Consumer Awareness Campaigns
Governments and non-profit organizations are also working to raise consumer awareness about planned obsolescence and the benefits of repairability. Public awareness campaigns aim to educate consumers about their rights and encourage them to choose products that are designed for longevity and repairability.
The Role of Technology and Innovation
While planned obsolescence is a pervasive issue, technology and innovation offer potential solutions to mitigate its impact. Advances in design, materials, and business models can help create more sustainable and repairable products.
1. Modular Design
Modular design is an approach that involves creating devices with interchangeable and upgradeable components. This design philosophy allows consumers to replace or upgrade specific parts of a device rather than the entire product. Companies like Fairphone have embraced modular design, offering smartphones that can be easily repaired and upgraded, extending their lifespan and reducing e-waste.
2. Sustainable Materials
Innovations in sustainable materials can also play a role in addressing planned obsolescence. Researchers are exploring the use of biodegradable and recyclable materials for electronic devices, reducing their environmental impact. For example, biodegradable circuit boards and recyclable plastics can help create more eco-friendly products.
3. Circular Economy Models
The circular economy is a business model that focuses on designing products for reuse, repair, and recycling. This model aims to create a closed-loop system where products and materials are continuously reused, reducing waste and resource consumption. Companies can adopt circular economy principles by offering take-back programs, refurbishing old devices, and designing products for easy disassembly and repair.
Consumer Empowerment and Ethical Choices
Consumers also have a role to play in challenging planned obsolescence and promoting sustainable practices. By making informed and ethical choices, consumers can drive demand for products that prioritize longevity and repairability.
1. Supporting Ethical Brands
Consumers can support brands that prioritize ethical practices and sustainable design. Researching and choosing products from companies that embrace repairability, modular design, and eco-friendly materials can help shift the market towards more sustainable options.
2. Advocating for Change
Consumers can advocate for change by supporting right-to-repair legislation and participating in campaigns that promote repairability and sustainability. By voicing their concerns and demanding better practices from manufacturers, consumers can influence policy and industry standards.
3. Embracing Repair Culture
Embracing a repair culture involves valuing and practicing repair as a viable alternative to replacement. Learning basic repair skills, supporting local repair shops, and utilizing online repair communities and resources can empower consumers to extend the life of their devices.
Conclusion
Planned obsolescence is a complex and multifaceted issue that benefits companies at the expense of consumers and the environment. By designing devices with limited lifespans and making repairs difficult, manufacturers ensure a continuous cycle of consumer demand and profit. However, the environmental and financial costs of this practice are significant, contributing to e-waste, resource depletion, and financial strain for consumers.
Addressing planned obsolescence requires a multifaceted approach involving regulatory action, technological innovation, and consumer empowerment. Right-to-repair legislation, eco-design requirements, and sustainable business models can help promote repairability and reduce the environmental impact of electronic waste. Consumers also have a role to play by making informed and ethical choices, supporting brands that prioritize sustainability, and advocating for change.
By working together, we can challenge the status quo of planned obsolescence and create a more sustainable and equitable future for technology.
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Have you noticed? The devices and software we buy is no longer our own. From hostile software updates to purposefully obstructing our ability to repair our devices, consumer rights are taking a beating. In this episode we discuss the problem and Right to Repair advocate Louis Rossmann gives us his insights.
Full podcast episode with Louis Rossmann: https://youtu.be/tVtIGZqEVqY
Sources and notes: https://docs.google.com/document/d/1XPNQkQqIZi7Mj5cAk3uduzJy00kDNWRZy3I24-HQEDc/edit?usp=sharing
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Producer: Dagogo Altraide
Writers: Laura Woods, Dagogo Altraide
Editors: Brayden Laffrey, Dagogo Altraide
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44 thoughts on “How Companies Profit off Unfixable Devices (ft. Louis Rossmann)”
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im ok with all that shit till its cheap but the point is its not so fuck it
If paying isn't owning then piracy isn't stealing !
That's why I call them CRAPPLE. Their products suck and I will never buy another one of their products, EVER!!!
'You will own nothing and be happy' – the W.E.F
Don’t forget vmware
How bout, don't break your phone?
Adobe has the grimiest cancellation process. they all deserve to go to jail..
TIME FOR CHANGE.
That's very ridiculous bro 🤦🏾♂
The ultimate hypocrisy, companies like Apple saying they're trying to go green. It takesa huge amount of resources to make a modern cell phone, some estimates say less than10 phones per average automobile! Making phones last longer and fixable is good environmental sense, as with all products. This needs to be called out, the only green they REALLY care about is money. Its blatantly greenwashing.
Mostly it all depends on political will. If politicians don't work for people why would business do.
"Look at the phone or the laptop that you are watching this video on" me: staring at my monitor connected to my home built PC and feeling left out.
That not at all true that if they made things that last then people wouldn't buy them any longer as people about always wanna be on top of the most up to date devices!! It might slow up on sale but then that's what making accessories is for!!!
Corporations going "I will help cure cancer as long as people buy a new one of my laptops every year" is really us being in one of the worst possible realities.
Thank god you talked about printers
Stop buying , that's how you beat them.
You could just buy a cheaper phone/tablet.
Phones and tablets last fairly long. They have made them more durable. Water resistant, harder glass so it doesnt shatter.
People also put cases and screen prodectors on them to keep them lasting longer.
Tech slows down over time. So it makes sense to upgrade once your old phone breaks.
The main problem is that we want phones that are very advanced. So the fixes are too complex to do on our own. You can't simple just fix them.
I've had ipads and android phones last a fairly long period of time. I usually have my phones 3-5 years.
You could almost keep a phone forever though. I just recommend that people upgrade once in a while.
I bought a used phone to save money. Repairing a older phone isn't really worth it.
Someone I know broke there screen and got it repaired. It was expensive. They ended up breaking there phone again and I told them just to buy a cheap phone and they like their phone still.
Doesnt BMW still charge a sub fee for not blinding oncoming traffic?
We know all this, now how do we organise so we can do something about it as a group. customers have all the power, we are just not organised.
I absolutely refuse to spend any money on a game that requires internet. My boycott probably wont make a dent….
I'd add the "right to own" to this.
John deere is a perfect example of this.
Agree 👍
That's why you should buy an Nothing® phone!.. Then you own it!
Got a modular phone with also backup battery, and degoogled OS. Using Linux on gaming PC. Always refused buying any DRM ridden games, don't even have Steam despite it being click-and-play on Linux. If it needs Steam, especially for Multiplayer, it simply doesn't exist for me. Yet, I have hundreds of games on GoG, with lots of my offline favorite game setups stored on my NAS. Most of my favorite movies or series are on my shelf as DVDs, bluerays are too much DRM for the quality increase. Using cloud storage for sharing encrypted files, or store gaming screenshots. Use immich as a self-hosted image cloud for actually any important pictures. No smart appliances, using Linux PC or mini media PC instead of "Smart" sh-…stuff.
Support only what you can with a clear conscience. HAVE, a conscience. Be informed. Listen to your tech and privacy friends. Yes, it's being made inconvenient by the big tech bullies. But giving into letting them bully you is only gonna slowly make it worse over time.
Once cars are not allowed to be fixed just buy a new one you’ll really see revolution in right to repair
I KNOW BOTH APPLE AND GOOGLE IS ONLY CARES THEIRS PROFITS BY CREATING ALL CONSUMERS IS THEIRS GOLD MINES.
GOOGLE IS ONLY MAKES MANY APPS TO MAKES GADGETS FOR ALL RAM SIZES BECAMES WORKING BADLY AFTER BEING USED ON SHORTEST MONTH AND DONT ALLOWING ANY ROOTING TO REMOVING SOMES USELESS GOOGLE AND VENDORS APPS AND IMPROVING DEVICES BATTERY LIFES DUE UNFAIRS ONLY BENEFITING GOOGLE WITH CONSUMERS AREN'T KNOWING EVERY CONTRACTS CLAUSE DUE GOOGLE OS IS INSTALLING TO MAKES CONSUMERS BECAMES LOOSING THEIRS MONEY AFTER BUYING NEW DEVICES ONLY AFTER FEWS MONTH BUYING LAST DEVICES WITH GOOGLE CLAIMING LATEST LOW POWER CONSUMED AND THE BEST OF ALL GOOGLE'S OS
0:07 "Look at the phone or the laptop that you're watching this on" stopped right there, I'm on a tower running linux. I know I own it and I am still unhappy.
There's an Indian bloke down Woolwich Arsenal that can fix anything for about £20. And if your model is too old for app updates, just use the website instead. Fix your old tech until it falls apart and stop being seduced by annual upgrades that no one needs. 😎
Bought and built a custom PC tower for myself back in 2011. About once or twice a year, I'll unplug and drain remaining static by holding the power button, use compressed air on the circuits, a duster for the rest, close up the metal case and boom. I'm still able to use it to game, write, and type out this comment 🙂
The entire right to repair conversation is such a joke
If you want control over your lap top, just build one yourself, hardware and software
If you buy it from someone else then stop complaining about it
Sony makes most flimsy, biggest and most unfixable crap of them all
Some time ago I read an article where the FTC took HP to court due to HP bricking HP printers for user's who did not subscribe to HPs ink subscription and those who attempted to use non HP ink cartridges.
I've not heard of that outcome.
I have an HP printer & desktop as well as a HP laptop.
Often my HP ink cartridges will fail. At the time I was leaving it powered up which I believe somehow HP may have been screwing with my printer. Now I leave it powered down until I need it.
lets bane sales of these producs, and also put huge fine whenever companies do this short of palned obsolecance, , they detsroy environment for profit!
All the e waste an depleting the world's natural resources. This should be criminal of these companies corporations
I repair phones for a living. Iphones are the most bafflingly designed phones I know
But you can use aftermarket parts. They just don't always work correctly
So why do people continue to buy Apple products?
I first spotted this happening way back with windows XP.
I used to save music files and burn them as mp3s to a rewriteable cd.
After a windows update, the feature vanished from the folder options.
Then years later, I came across microsoft's IP licensing scam (because it is a scam) being used to force people to have to buy new hardware, with manufacturers backing the whole scheme up.
Car audio head unit by JVC.
Played discs with MP3s burnt on it, no bother at all.
After 12 years, the unit stopped reading some of the MP3 tracks.
I bought some dvd discs and burnt a new disc of tracks, the unit now wouldn't read the disc at all.
I tried top of the range and cheapest possible discs, both failed.
Then I read online, that JVC had signed a multi-million IP licensing deal with Microsoft… Bingo!
I fired up an old unused laptop running windows 7, which wasn't online and wasn't updated.
Burnt the cheapest dvd disc I could find, MP3s disc (as a data disc) – put it in the JVC head unit in the car – hey presto, it read and played the tracks without issue!
When JVC repairs said they wanted me to send them the head unit, for a laser head repair, and that I would probably have to buy a new unit, I refused and told them how I solved the apparent fault.
I asked why an old Microsoft operating system was perfectly able to burn a dvd disc with MP3s and run fine on the apparently faulty unit, when the same disc burned in windows 10 failed to be recognised by the unit and it was deemed to be faulty?
I asked them about their IP licensing with microsoft and why they were forcing customers to have to buy new hardware?
JVC said, "We do not use or have an IP licensing agreement with Microsoft!"
I sent them the article in trade news, showing JVC top brass shaking hands with Microsoft top brass on agreement of their multi-million IP licensing deal.
JVC have never replied since.
What corporates are doing is plain wrong and has been for years!
D O N T B U Y I T ! i always buy phones washing machine fridge tv car that i know can be easly repaired or resold anyways the real PROBLEM, generally is that they refuse to even sell you the parts i want A FLUCKING nand memory or an soc to change it or an baseband ic or rf filter no way to get it
No. This video is brought to you by one+.
YOU OWN NOTHING.
Ive worked in the cellular for over 17 years. I would never get an iPhone. A friend of mine asked why and I asked him
" Would you pay 800 dollars for a Louis Vuitton wallet? He said no and asked what did that have to do with buying an iPhone. I asked to answer my question. He says no because his 39 dollar wallet serves the same function as the designer wallet why pay for a name.
Exactly..your paying for the Apple logo. Apple is the least evolved phone year after year.
FAIRPHONE 5 ❤❤❤
I don't even know why people buy apple junk
Correction its not just corners being cut, there was an article in the IEEE Spectrum magazine pleading young engineers to factor in planned obsolescence in their designs by making products that can't be repaired
Paraphrasing but in a nutshell they said that if most of your components in your design lasted 15 years save for one that lasted only 5, then it was a bad design. What you should do instead is design your hardware so that all the key components fail at 5, that way repairing is just too costly and thus ensuring that the user won't service said devise and instead be forced to make another purchase. It didn't even matter if it wasn't your product because, if everyone did this, then all products would breakdown keeping a captive market
Again this not just a deliverate design, its a call by the International Electronic and Electrical Engineers to desgin items that are basically junk. Now the IEEE is "the worlds largest technical professional organization", it oversees many industry stabdards and it encompasses all fields from Computer Science to Telecommunications to Electrical energy, etc.
Now its true this was one writer among many, but it was published because its a shared philosophy. Making crap is good for business. And now its even "better" if they can punish us for polluting because they keep making things that break that means you can't launch competition and people don't have choices.
I read this article about 15 years ago, not sure how old that magazine was but I still remember. I obviously don't agree with it and have been sarcastic. I think right to repair is critical, I also think ownership is freedom and in this case things like Steam are like making holes in your pocket. First of all you cant sell what you have (you cant buy food by selling your Steam licences its not capital so its lost). You're at the mercy of their servers, if you have internet issues you cant play. You don't own it's a rental, just as the cloud is just another word for someone else's computer.