Plugged In: Turning Yesterday’s Tech into Tomorrow’s Treasure

Ever wonder where old or outdated electronics go? Jim Levine, former CEO of Regency Technologies (now part of Iron Mountain), shares how the industry has evolved and why proper recycling matters now more than ever. ♻️💻

Featured on Tomorrow's World Today:

Season 4, Episode 1 - The Science Behind Electronics Recycling

Transcript

(0:00) Welcome to the Tomorrow's World Today podcast. (0:04) We sit down with experts, world-changing innovators, (0:07) creators, and makers to explore how they're taking action (0:10) to make tomorrow's world a better place for technology, (0:14) science, innovation, sustainability, the arts, and more. (0:18) On this episode, host George Davison, (0:21) who is also the host of Tomorrow's World Today on the Science Channel, (0:25) sits down with Jim Levine, founder of Regency Technologies.
(0:28) The two talk about recycling and its crucial role (0:31) in reducing the need for new materials. (0:33) Levine discusses how recycling is often seen as a feel-good practice, (0:37) but is fundamentally about resource efficiency and sustainability. (0:42) In January of 2024, Iron Mountain, (0:44) a global leader in information management, innovative storage, (0:48) data center infrastructure, and asset lifecycle management, (0:52) completed its acquisition of Regency Technologies.
(0:55) Well, we have Jim Levine here. (0:58) He is the founder and the entrepreneur (1:01) who started a company called Regency Technologies. (1:05) And it's quite a large organization today (1:08) that started out of an idea back, well, a little while ago.
(1:13) And you've got, what, about 1,500 employees nowadays? (1:16) Yep. (1:16) Wow, Jim, that's quite an accomplishment. (1:19) Can you walk us back a little bit, (1:21) back in the days when you were first starting out? (1:23) Can you take us back to where the idea came from to start your business? (1:27) Sure, and thanks for having me, George.
(1:30) So Regency Technologies started out of a situation like many small businesses (1:36) where myself and a handful of people were working for a bigger organization, (1:41) and the company got sold. (1:43) And that company was an equipment leasing company (1:46) selling large mainframe computers, (1:49) leasing large mainframe computers to banks and insurance companies and hospitals. (1:54) And at that time I was working for a small division of the company (1:58) that was responsible for remarketing assets when they came back off lease.
(2:05) And when the company got sold, (2:07) that particular division was not part of the sale. (2:10) So this was before the advent of the PC (2:13) became something that we're all familiar with today. (2:15) And that was part of the genesis of the business (2:20) is that it had been changing so rapidly (2:22) and moving away from mainframes and midrange (2:25) and just having what they used to call dumb terminals sitting on people's desks.
(2:29) Probably not a great name at the time, but that's what they referred to them as. (2:34) And essentially the group that I was with, (2:36) which was only about a half a dozen people, (2:39) could see the writing on the wall that things were changing (2:42) and things were moving to the desktop. (2:44) And the individuals in these companies, forget about consumers, (2:48) were starting to use desktop computing (2:51) and there were more and more assets that were coming into the workplace.
(2:56) So we saw a need for logistics, moving these things around, (3:00) either installing them, removing them, forget about data wiping. (3:04) No one was thinking about data security (3:06) and no one was thinking about environmental at that time. (3:09) It was all about monetizing the value (3:13) when that equipment was coming back off lease.
(3:16) So we sort of inserted ourselves into the equation (3:19) as the in-place equipment installation started to grow (3:24) and provided services for big companies (3:26) to move this equipment in and out of their organizations. (3:30) Okay, and that was where you were working for a company at that time that did that. (3:34) Is that correct? (3:35) Well, essentially, yes.
(3:36) It was a division of the company that got sold. (3:40) So that was from 1996 to 1998. (3:43) And by 1998, we saw clearly that we wanted to be in this business.
(3:47) So we formed Regency Technologies (3:49) and pretty much bought that division from the original founders, (3:54) myself and one other person. (3:55) Interesting. (3:56) Yep.
(3:57) So the name Regency existed at that time or did you create that name? (4:01) No, we created that name in 1998. (4:03) And does it have a meaning to you, the word Regency? (4:09) Well, everybody in the computer industry had three letters. (4:13) It was A, B, C, 1, 2, 3, and IT this.
(4:17) And everything sounded the same. (4:19) So we did a little research on names that would sound familiar. (4:24) And Regency kept coming up in the search (4:27) that everybody had familiarity with it.
(4:28) It sounded regal, it sounded important. (4:31) So we said, let's just call it Regency Technologies. (4:33) And to this day, I still laugh because we can remember (4:36) when we were six months old and had no clients and no business, (4:39) we would call on people and they would say, (4:42) oh, we know you guys.
(4:45) That's a good name you selected. (4:47) Yeah. (4:49) Good story.
(4:50) Yep. (4:50) All right. (4:52) So you started this organization.
(4:56) And let's walk it back a little further than that. (4:59) What was going on in your life at that time? (5:01) Was everything just moving along in an easy way? (5:07) Or was there a great deal of complexity in your life (5:10) to work your way through the beginning of your business? (5:13) So like a lot of these stories I'm sure you've heard in the past, (5:17) it was not a straightforward path. (5:20) I had a job, landscape changed underneath my feet, (5:25) had to figure something out.
(5:28) I was newly married for a couple of years, (5:31) had a kid, new house, and a job that was not really, (5:37) I didn't know where it was going to go. (5:39) So it was definitely an uncertain period of time. (5:42) But I definitely had a vision.
(5:45) I could see where things were going. (5:46) I could see what was happening with technology. (5:48) And myself and the group of people that I was working with (5:51) believed that this was going to continue to grow.
(5:54) So we really were committed to sticking with it. (5:57) And like a lot of other entrepreneurs that I'm sure you've talked to, (6:00) when you have that feeling, it really gets into your DNA (6:05) and it takes a lot to try to move you off of that. (6:07) It's not really about the paycheck.
(6:10) It's not about the security. (6:13) It's about figuring it out. (6:15) So back in the earlier days for me, (6:20) 40 hours a week was the amount of hours you were supposed to work.
(6:24) When you were starting up your organization, (6:27) were you working 40 hours a week? (6:30) A lot more than 40 hours a week. (6:32) It was 7 days a week. (6:34) You'd have the 40-hour week routine, but then it was going home.
(6:40) Fortunately, when we first started, I only lived about 8 minutes, (6:42) fortunately or unfortunately, depending on how you looked at it, (6:45) 8 minutes from the operation. (6:47) So it would be play with the kids, put them to bed, (6:50) go back to the operation there on the weekends, (6:53) preparing on Sundays for the next week. (6:56) So yeah, it was a lot of time.
(6:57) One of my mentors when I was a young person in high school, (7:02) he said to me, (7:04) well, George, do you want to be average? (7:07) I said, no, I don't want to be average. (7:09) He said, well, how many hours should you work a week? (7:14) I said, well, I think the work week is supposed to be 40 hours a week, (7:18) so it's 40 hours a week. (7:20) He said, 40 hours a week if you want to be average, George.
(7:24) I got to thinking about that and I thought, wow. (7:26) So I need to get to 40 hours a week every week as fast as I can (7:32) so I can work more hours than that to get ahead and not be average. (7:37) And that was a mindset that really was put in my head when I was younger (7:41) and helped me a lot when I started the business that I'm in.
(7:45) But it sounds like you also had to work more than 40 hours a week to get ahead. (7:49) Is that fair? (7:50) It is fair, but I also want to be candid that I was never, (7:55) I didn't really think of it like I had to work 40 hours a week (8:00) or I had to work 80 hours a week. (8:02) It was more about I want to go back, I want to figure this next thing out.
(8:07) I was liking it a lot. (8:10) And I hadn't had that experience really before. (8:12) It's just like any other young guy, as you said, (8:16) you sort of think that there's a construct that you're supposed to follow (8:18) and this thing just sort of happened.
(8:20) I never really planned to be an entrepreneur. (8:24) I wasn't really thinking about much of anything. (8:27) I wanted to have a family, I wanted to have kids and have some security, (8:31) do some fun things, but I didn't have this perfect vision of where I wanted to go.
(8:35) That part just sort of happened. (8:37) And when it did, I wanted more. (8:40) So I never really felt like I have to go back and do this or I'm working too much.
(8:45) There were certainly times where I was aware that I probably should pump the brakes (8:48) and pay attention to some other things in my life too. (8:50) And I would say I'm very fortunate that I always tell people when it's Sunday, (8:56) I don't get the Sunday scaries that I have to go back to work on Monday. (9:00) I'm excited to pull out of the driveway on Monday (9:02) and see what's in store for the following week.
(9:05) That's a beautiful thing. (9:06) You found something that you like, it doesn't sound like it's work anymore, (9:12) and you enjoy doing what you do. (9:14) Isn't that nice? (9:18) We sleep a third of our life, we work a third, (9:21) and we have a third with our families and that type of time.
(9:26) So finding what you like is a real important part of having a quality life, I believe. (9:32) Congratulations on accomplishing that. (9:36) Do you believe there's anything in particular that helped you to find success? (9:40) I would say, without sounding too cliche, (9:44) it was a family upbringing, close-knit family on the east side of Cleveland.
(9:50) I'm unique in the sense that I had four grandparents that were all born in Cleveland, Ohio. (9:56) So most people of my generation had some grandparents that were either immigrants (10:02) who came to this country, but I literally had four grandparents that were born in Cleveland. (10:07) All of them started with nothing, became successful over their lives, (10:13) taught the lessons of hard work and family.
(10:16) Again, a lot of kids who are growing up don't necessarily realize it when they're kids or even young adults, (10:25) but somewhere along the way you sort of laugh inside and say, (10:28) I must have been paying attention somehow because I'm doing a lot of the same things that I saw as I was growing up. (10:34) Would you say that your grandparents were mentors? (10:37) If so, that's interesting. (10:40) Then, did you have any other mentors that you'd mention? (10:43) For sure.
One in particular, my father's father, that grandfather, (10:49) is somebody who I looked up to my entire life. (10:52) I was very fortunate that he lived to 102. (10:56) He lived to 102 with full mental capacity.
(11:00) He was playing golf three days a week, and he just broke a hip at 102 and ended up getting pneumonia, and that was it. (11:10) But he had a blessed life, and I got to hear so many stories from him throughout his life, (11:18) not just remembering when, but even when I was starting a business, (11:22) he would come out and see it and give me advice on things. (11:26) So really, really lucky to have him in my life.
(11:28) And then there were plenty of other people, early managers that I had from companies that I was working at as a teenager, (11:36) and even right out of college that taught me things. (11:39) So yeah, I was really lucky to have people in my life that sort of sports coaches, (11:45) teaching me the value of hard work and teamwork and all those things. (11:48) It really helps out, builds your confidence as you're younger, (11:52) and kind of sheds a little light on the subject that you'll make your way, you'll find your way, just keep working at it.
(11:58) And I also, along the way, while we were building the business too, (12:03) I've been very fortunate, a wife who has been completely supportive, (12:08) and I've seen plenty of situations where it's not the same, but she's been amazing. (12:13) We've been married for almost 30 years, and from the day that we started the business, (12:18) she's never second-guessed, she never complained about working too late, was really a team player. (12:23) So I consider her a partner in the business.
(12:26) Well, it's wonderful to have that kind of support there with you. (12:29) A partner who's always in your corner and believes in you, right? (12:33) Yep, makes it easier. (12:35) Yes.
So your business continues to grow, and I think back in the older days, (12:42) the world of recycling was like, you'd see piles of steel just sitting there and rusting and whatnot. (12:48) But the world of recycling and technology has been now, it's been combined. (12:55) You've pioneered a new industry.
(12:58) Can you look into the future with us a little bit and project, (13:02) what do you see in the world of recycling, sustainability, (13:07) the importance of this as we go forward as a group of people? (13:12) How much time do we have? (13:15) It's, again, one of the reasons I think that I'm still very energized about the business (13:20) is that, in a way, you can be, especially when we talk about electronics (13:27) versus traditional scrap recycling with maybe non-ferrous metals and ferrous metals (13:32) that tend to have longer lasting lives, where with electronics, it changes so fast. (13:40) One of the luxuries of the business, if you will, (13:43) is that you don't really have to think about what's going to happen next. (13:47) You just let it happen.
(13:48) So being at the end of life, I can see what you might be using as technology today, (13:54) and I know that in two to three years from now, (13:56) we're going to be figuring out how to recycle that material (13:58) because you're going to be using the new thing. (14:00) So whether it's this microphone, that mixing board, these lights, it's all going to change. (14:05) So we're just watching what happens.
(14:08) So part of what we do in looking at growth is, what's happening in the world? (14:13) So even watching your shows, so we talk about plastic. (14:16) We know that plastic has got infinite potential in terms of improvement at this point (14:21) in so many different ways, some of them very obvious, some of them not obvious. (14:25) We look at EV batteries for cars.
(14:29) Well, the same chemistries that are in your cell phone battery (14:32) are going to be in huge demand in a much bigger way than they've ever been by sheer volume (14:37) as we move into electric vehicles. (14:40) So the cars of the next three years are basically giant computers with big batteries. (14:47) Interesting.
(14:48) So we're already in negotiations with people, with OEMs, auto manufacturers, (14:54) people who are building the batteries, the closed loop of recycling for the commodities (14:59) that will go into electric vehicle batteries. (15:01) It's going to be like going back 150 years when the integrated steel mill started right around here, (15:06) and it was the byproducts that were coming out of the steel making (15:12) that were going right back into the mill to be used to make steel. (15:15) Think of electronic vehicle batteries the same way, and it hasn't even started.
(15:19) So when we see the growth, or we look down the road, we see things like that. (15:25) That's wonderful. (15:26) So as we're talking through that area, would you say that the importance of recycling (15:33) and drawing these very precious materials back out and putting new life to them (15:41) by extracting them during the recycling process, (15:45) how much is that helping us not have to go and mine those materials (15:52) and to go and find that elsewhere in the world? (15:56) How much is recycling adding to our ability to make new products (16:01) and not have to go into, let's say, the forest and start to take out another mine (16:07) or something to that effect? (16:09) Again, it's a huge area to discuss.
(16:13) We think of recycling as a nice thing. (16:17) We think of it as this, you put your recyclables into the blue bag (16:21) and the nice people take it away and it gets sorted, and it's a great story. (16:26) But really, recycling is about common sense and economics.
(16:30) And I feel like in the last, say, 75 years, the world has gotten a little bit lazy with it (16:37) because we've had so many natural resources at our fingertips (16:41) and we consume them and we don't really think too much about it. (16:45) We just think that we get what we want when we want it (16:48) and regardless of what part of the world it comes from, (16:50) if they make it cheaper, we're going to buy it from there. (16:53) And while a lot of people think that they want things that are grown local or made local, (16:58) do they really want to pay what it costs to make those things (17:02) if they're not just being farmed out to all different parts of the world to be made at a lower cost? (17:08) So I think it does ultimately have a big impact, (17:11) and as we start to see people really wake up to, (17:15) wow, maybe I do need to keep my footprint a little bit smaller, (17:18) people start thinking about using less.
(17:21) And when we talk about manufacturers who are making and selling things, (17:26) whether it's electronics or automobiles, (17:28) most of those companies aren't really that interested in making less, right? (17:32) Sure. (17:33) They want to make more, but there needs to be some kind of cultural shift (17:38) to at least reuse what we've made in the first place. (17:43) Interesting.
So there could be a lot of opportunity there, (17:46) a lot of innovation, it sounds like, in that space (17:49) of how to bring things at end of life back into the world of business (17:56) so that we can reuse it more, let's say many more times and create less impact. (18:04) Sure. Especially we think of things like rare earth metals, cobalt, lithium.
(18:10) These elements are only found in certain parts of the world. (18:14) So now you start getting into geopolitical situations (18:18) where do we own the rights to this material just because we're the United States (18:22) and we want to make more EV batteries or cell phone batteries than anybody? (18:26) We have to work with people. (18:27) Or do we become more dependent on creating sustainable recycling solutions (18:32) to recover that material and reuse it that way? (18:35) So that's where I come back to saying recycling is about economics.
(18:39) People like to think of it as this nice idea, and it is, (18:43) but if you think of it in a more basic way, it's just common sense and economics. (18:47) And that's always been and that always will be (18:50) because if somebody can do something that's convenient and makes economic sense, (18:55) typically you get more people's attention. (18:57) And we're constantly analyzing pounds and tons and pieces and dollars and doing time studies.
(19:04) How long does it take to process this material? (19:06) How much electricity did we use? How much propane did we use in a forklift? (19:10) How much shrink wrap did we use? So I think numbers are really important. (19:14) Okay, so if we were to say, again, we're going to take a peek into the future, (19:19) what does your company look like in the future? (19:22) I think some of the things I could point to is I think we'll have expansion (19:26) along the way internationally somehow. (19:30) Starting in one location in Cleveland, Ohio, (19:33) and now having eight locations in the United States (19:36) from Washington State to Tampa, Florida.
(19:39) We do business all throughout Europe. (19:42) We do business in Middle East Africa. (19:46) We are doing business in Mexico.
(19:48) And we've got great partners that we've worked with for a long time. (19:51) But the more and more that we get involved with multinational companies, (19:56) I can see that that's going to be something that would most likely happen in our future. (20:02) That's great to hear.
Well done. (20:04) All right, so if you had an innovation lab at Regency, (20:08) what would be something you would teach in your innovation lab? (20:12) I'm trying to think of the best way to say it, (20:13) but I would say like reverse engineering things. (20:16) We take things apart for a living.
(20:19) So whether we're going to recycle it or we're going to repair it and reuse it, (20:25) we like to take things apart, see how they were put together in the first place. (20:30) What is that material made of? What is it? (20:33) What are the elements that are there? How does it come apart? (20:35) Hit it with a hammer. Drop a shear on it.
(20:39) Test it with memory. Test it without memory. (20:42) We go through a lot of batteries of examination.
(20:45) We do a lot of time and material studies. (20:47) Interesting. (20:48) So that's a big part of how we move forward.
(20:51) So we do have, it's not necessarily one innovation lab, (20:55) but we want innovation and testing going on all the time. (20:59) And we encourage our managers, if they see something that we haven't seen before, (21:02) again, going back to that nature of electronics is changing so fast, (21:06) we can't possibly know what's coming in every single day. (21:10) So we have to spot things and then stop them and say, (21:13) huh, we've got a new species.
What's it made of? (21:16) What was it in? How did, who did it come from? (21:20) So there's a spirit of that kind of innovation from reverse engineering things. (21:25) So true. (21:26) Demanufacturing is what we call it.
(21:27) Okay. So that's a very important part of, (21:30) I believe you're right from the perspective of an innovation lab. (21:34) We believe as well that learning how to take things apart and what's in there, (21:41) how does it work? Why does it work that way? (21:44) And you can keep going.
(21:46) Like how did they get to that $9.99 price point once you know what all these parts are in here? (21:52) So there's a real system and formula for figuring out how did this product come to be? (21:59) And then of course the opposite for your business, (22:03) it's what is in this thing and how do I break it all the way down to its basics, (22:09) separate it and reuse as much as possible that makes economic sense. Fair? (22:16) Correct. And doing it safely.
(22:18) Yes. (22:19) Environmentally friendly. (22:20) That's great.
Jim Levine from Regency, (22:23) thank you very much for visiting with us today. (22:27) Well everybody, that's another edition of Tomorrow's World Today. (22:30) Thanks for tuning in.
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