What is Hardware as a Service (HaaS)?

Hardware as a Service (HaaS) is a procurement model where a business leases or rents its physical technology equipment, such as VoIP phones, routers, or servers, from a service provider for a recurring monthly fee. This approach is a direct alternative to the traditional model of purchasing hardware outright as a large, one-time capital expenditure.

A true HaaS model typically includes:

• A fixed-term lease agreement (e.g., 24 or 36 months).
• Bundled installation, maintenance, and support for the duration of the contract.
• The option to upgrade to the latest hardware models at the end of the term upon renewal.

This service-based approach shifts the financial burden from a capital expense (CapEx) to a predictable operating expense (OpEx).

The most widely recognized example of a HaaS model is the modern pay-monthly mobile phone contract. Customers pay a monthly fee that covers both their cellular service and the cost of the handset, with the option to receive a brand-new phone every couple of years. In the business world, HaaS applies this same convenient, subscription-based logic to essential IT and telephony hardware.