Are Extended UPS Warranties Worth It?
Recently, we discussed what a UPS is and how often you need to replace one.
As a quick refresher, a UPS (uninterruptable power supply) is a device that protects your servers and other network equipment from power spikes.
It also will keep your server temporarily running if your building experiences a power outage, giving you time to gracefully shut down your network or giving your generator enough time to kick in to avoid damage or loss of data.
Because UPSs are so vital in ensuring your organization remains operational and productive, our clients often ask us if extended warranties are worth purchasing.
Extended UPS Warranties: What is Your Appetite for Risk?
Unfortunately, there is no clear-cut right answer when it comes to purchasing an extended warranty.
Here are a couple of factors to consider when making your decisions.
Age of UPS
UPSs can last anywhere from seven to 10 years. If your device is nearing the end of its life, it doesn’t make sense financially to purchase an extended warranty, as you could use that money toward a new UPS.
APC, a manufacturer of UPSs, electronics peripherals and data center products, recommends getting an extended warranty on your UPS if the device is less than 3 years old.
“We generally tell our clients to wait and replace the battery when the UPS is between 3 and 5 years old simply because the cost of a new battery is about the same as the extended warranty.”
At Hungerford, we generally tell our clients to wait and replace the battery when the UPS is between 3 and 5 years old simply because the cost of a new battery is about the same as the extended warranty.
You can purchase the extended warranty early on and hope your battery meets the conditions necessary for a free replacement from APC, or you can just buy a new battery when you need it and spend about the same amount without worrying about meeting the criteria.
Usage
If your UPS is used in critical instances where downtime is not an option, such as hospitals, data centers, financial institutions or manufacturing plants, you might consider an extended warranty because it will protect you against unexpected failures. Or you could purchase another battery to always have on hand sitting next to the UPS.
How many people your organization employs also will determine if an extended warranty makes sense.
For example, if your company employs 200 people and your building experiences a power outage, the downtime costs will be astronomical compared to an organization that employs 10 people.
Ultimately, this decision is all about how much risk you want to endure.
The goal is to find single points of failure within your network and create redundancy so if one device fails, you have a backup solution.
Avoid Damage or Data Loss
Want to protect your organization’s data with a UPS or replace an older one? Contact us here to see how we can help keep your business running smoothly while increasing security, productivity and profitability.
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