• Promo: B.Sc. Info Systems, Trinity

    IT workers face the challenge of developing their communications, business and management skills.
    » more

  • Apple sets high bar for competition

    The new Macbook shows Apple's strength in software and hardware design.
    » more

  • Web Pick: Better Gmail V2

    Just because Google loves ugly, it doesn't mean that you have to live with it.
    » more

BUSINESS

Retail to be biggest consumer of RFID

18-01-2006

by Silicon.com

Despite a number of high-profile pilots, retail is not the most avid RFID user to date -- but it won't take long to catch up.

RFID analyst house IDTechEx is predicting this year will see a total of 1.3 billion tags sold -- drastically overshadowing the 2.3 billion purchased in the 60 years up to 2005.

The analyst predicts the overall RFID market, including software and services, will similarly skyrocket, reaching USD26.2 billion by 2016 -- a roughly tenfold increase on 2005's figure. IDTechEx expects the postal industry, retailers and pharmaceuticals to be at the forefront of buying.

Among the RFID technologies the research company expects to grow is real-time location services based on active RFID tags, which gives companies the ability to locate assets wirelessly. The IDTechEx report predicts this area of RFID will be worth USD6 billion in 10 years' time.

According to the study, by far and away the vertical spending the most on RFID to date has been the transport and travel industry, splashing out around USD1 billion. Security has also been flooding the RFID industry's coffers, spending around USD670 million, on access cards and the like.

Third place goes to the retail/consumer goods industry, which has spent USD230 million on equipping pallets and cases with RFID. The analysts believe the retail industry remains the vertical with the most potential to adopt the track and trace technology in the future.

The report said: "All agree that CPG [consumer packaged goods] is the biggest potential for [the] EPC [standard of RFID] and RFID in general. Although unpackaged consumer items are also a large figure there are many reasons not to tag them although it will be done to some degree."

IDTechEx predicts tagging of pharmaceuticals will become mainstream in 2006 and 2007, and consumer packaged goods by 2007. The report also foresees greater adoption of RFID to track airline luggage by 2007.

Jo Best writes for Silicon.com.

Reprinted with permission from Silicon.com

Click here to make ENN your home page
Sign Up for FREE ENN Newsletters

VIDEO REVIEW

Dell not dull; sees red
Dell adds a splash of colour to its latest laptop range, but is this enough, or do consumers want an edgier look? » Read more

ENN CORPORATE

Complete copywriting services
Do you need skilled writers to put together compelling prose for your company? Why not check out the new-look corporate services site from ENN and see how we can put our skills to your use. » Read more

  • Hosted by TeleCity

SUBSCRIBE

Not a member yet?
Sign up free, click here
To change your ENN Newsletter and alerts preferences here

WHO'S WHO IN PR

Full listing of Irish PR firms, including high-tech specialists. » Click here