After the iPad 2 announcement, Gazelle saw a marked increase in the number of first generation iPads being recycled by consumers. The electronics recycler has received so many iPad 1 tablets in good to excellent condition that it has decided to begin selling them back to consumers in the upcoming weeks.
Gazelle lets consumers send in used electronics for cash. It's an easy way to sell your device without the hassle of deadbeat sellers on eBay or the spam from Craigslist. The amount paid out depends on the model of the device and its condition. Currently, Gazelle is paying $183 for a good condition 16 GB WiFi iPad model. Since the iPad 2 announcement, the company has accepted almost 17,000 iPads, 90% of which are in mint condition.
Rather than resell these iPads through Amazon or eBay, Gazelle has decided to open an online store as an extension of its current website. Pricing is still being determined, but the used iPads will likely cost between US$300 to $500. Gazelle may also collaborate with Square Trade to offer warranties on these used devices.
If all goes well with the iPad, Gazelle plans to eventually add the iPhone to its online store. The company expects to receive over 50,000 iPhone 4 handsets when the iPhone 5 hits the market later this year.