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How much does a business smartphone really cost?

October 5, 2026

5-minute read

When purchasing business smartphones, organizations consider the device price, service plans, security, and management. But there’s one cost that’s often missing from the budget: what will these devices be worth after two or three years?

That expected residual value can be significant. If you consider it before making a purchase, you’ll get a more realistic picture of the costs over the entire useful life of the asset. In addition, you’ll be able to develop a plan for take-back and reuse in advance. How does that work?

The purchase price tells only part of the story

The price an organization pays at the time of purchase is different from what it actually costs to use a smartphone over the course of two or three years. After all, part of the investment can be recouped at the end of the device’s useful life.

For that to happen, the device must still be in good technical and cosmetic condition. The chosen brand, model, storage capacity, and time of sale also play a role.

Circlewise uses up-to-date market data from a specialized European data partner for the secondhand electronics market. This allows us to provide an estimate of the expected residual value after a certain period of use at the time of purchase.

Residual value increases with each generation

Recent market data shows a clear trend. After 24 months, 256 GB iPhones retained the following percentage of their original value:

  • iPhone 14 series: 43%
  • iPhone 15 series: 45.5%
  • iPhone 16 series: 47%

Over two generations, the residual value has thus increased by four percentage points. If this trend continues, future iPhone models could approach 50% of their original value after two years.

For the iPhone 17 series, a residual value of 64.7% is even expected after twelve months. That is a forecast of nine percentage points higher than the 55.8% recorded for the iPhone 16 series. These percentages are based on market data and do not guarantee the residual value of any individual device. However, they do show that residual value deserves serious consideration in the business case for corporate IT.

The time of sale is a factor

The market for used smartphones fluctuates throughout the year. Data from our data partner shows that the selling prices of refurbished iPhones fell by an average of 21.89% during the period under review.

This decline is not uniform. Prices generally remain relatively stable throughout the summer. An initial price adjustment follows the announcement of new models. After the holidays, prices often fall further as available inventory increases.

Newer models lose value more quickly in their first few years. Older generations eventually reach a more stable price level. Therefore, in addition to the model you choose, the length of use and the planned trade-in date play an important role.

When selling smartphones in large quantities, releasing them a few months earlier or later can make a significant difference.

A recommendation is still just a recommendation

Technological developments, economic conditions, and international demand for used devices can never be fully predicted. Circlewise’s calculation is therefore an estimate and not a guaranteed buyback price.

A well-founded estimate does provide more certainty than waiting until the end of the device’s useful life to determine what they’re still worth. Organizations can set aside funds earlier, compare useful lives, and make arrangements regarding return and condition.

During the period of use, the assessment can be updated based on current market data. This allows the organization to stay informed about the best time for replacement and sale.

Residual value supports sustainability goals

The value of a device depends on its potential for reuse. A smartphone that is still in good working order after two or three years and is collected on time can last for years with a new owner.

This is relevant because a large portion of the environmental impact of electronics stems from the production and use of raw materials.

An estimated residual value makes extended use and reuse financially tangible. This creates a clear incentive to:

  • to ensure that employees handle the devices with care;
  • determine a realistic service life in advance;
  • return devices promptly after use;
  • to centrally register devices;
  • to securely delete data;
  • to make usable devices quickly available to the next user.

For sustainability managers, this approach provides measurable data. Examples include the average lifespan, the percentage of devices in use, the proportion that is reused, and the CO₂ savings achieved.

Know what your devices will be worth in the future

Are you planning to buy new smartphones, tablets, or laptops? Don’t just look at the purchase price—also consider what your devices will be worth after two, three, or four years. Circlewise gives you an upfront estimate of the expected residual value and helps you compare different models and usage periods.

Request a residual value estimate
  • Insight into Future Residual Value

  • Compare models and contract terms

  • Based on current market data