Companies often seek ways to speed up product cycles and boost revenue. One approach, forced obsolescence, involves deliberately designing products with a shortened lifespan to encourage repeat purchases. While it may yield short-term profit, it poses significant long-term risks.

What Is Forced Obsolescence?

Forced obsolescence manifests in various ways: hardware design limitations (e.g., sealed batteries, fragile components, non-upgradable parts), software cutoffs (i.e. EOL, ending support for older versions, blocking app compatibility), and performance throttling (i.e. slowing devices for stability).

These tactics encourage customers to upgrade sooner, but the current market conditions make this approach unsustainable.

The potential risks to businesses are frequently detrimental and can lead to situations that are beyond recovery. The key areas of concern are:

1. Brand Reputation

Consumers are more informed and vocal than ever, leading to rapid spread of news about forced obsolescence, resulting in lawsuits, fines, and reputational damage, making it challenging to rebuild trust.

2. Regulatory Pressure

Governments globally are enacting Right to Repair laws and sustainability regulations. Companies resisting transparency risk fines, restrictions, or mandatory redesigns that disrupt product roadmaps.

3. Customer Loyalty Erosion

Short product lifespans frustrate customers, eroding brand loyalty and driving them towards competitors who offer durability and transparency. In today’s low-switching-cost environment, loyalty is a priceless asset.

4. Environmental, Social, and Governance (ESG) Accountability

Investors are increasingly scrutinizing ESG performance. Forced obsolescence contributes to e-waste and undermines sustainability initiatives, potentially affecting valuations and investor confidence.

A Better Plan: Longevity as a Strategy

Companies that prioritize durability, repairability, and long-term support can unlock growth in novel ways.

• Premium positioning: Brands associated with quality and longevity can command higher margins.
• Subscription models: Long-lasting hardware paired with renewable services (cloud, AI features, maintenance plans) generates recurring revenue.
• Circular economy: Trade-in, refurbish, and recycling programs create new profit centers while lowering environmental impact.
• Competitive differentiation: In saturated markets, a promise of longevity sets brands apart.

How To Thrive Not Just Survive

Forced obsolescence offers short-term gains but clashes with consumer expectations, regulatory limits, and sustainable business. Thriving companies will innovate around value longevity, ecosystem continuity, and customer trust, not product failure.