 | Tuesday, January 29, 2008 Issue 766 | | Will Smith, Editor |  |
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 | Editor's Note: Today's top story is an observation by ABI Research that system integrators focused solely on RFID will have to adapt their market positioning as the technology enters its maturation phase.
Avery Dennison RFID has expanded its portfolio of RFID tags with the AD-908, which is designed for high performance in challenging environments or on RF-unfriendly contents and packaging. The tag incorporates Avery Dennison's AD-222 inlay, which offers global readability.
Lowry Computer has released the Lowry Quick Comply Kits, a product suite aimed at suppliers subject to the recently announced Sam's Club mandate.
RTLS provider Time Domain has added eleven partners to its channel reseller network. Recall that the company's technology is based on ultra-wideband (UWB), a relative newcomer to RTLS but one which can yield locationing accuracy up to 15 centimeters (see UWB Finding a Place in the RTLS Market).
Lastly, RFID network infrastructure provider Reva Systems has opened an office in Tokyo, the company's first in the Asia-Pacific region. |
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| Products & Services | | - Real-Time WIP Visibility Appliance from Omnitrol Networks (site) | | - Tag & SpyTM: NOX Surveillance by SimplyRFID (site) |  | | Upcoming Events | | - RFID World Asia 2008, 8 to 11 April, Suntec Singapore (site) | | - SCAN & RFID CHINA 2008, June 19-21, Guangzhou, China (site) | | - 5th Annual DoD RFID Summit - Feb 26-27 - Arlington, VA (site) | | - RFID Smart Labels USA - Boston, MA - February 20-21, 2008 (site) | | - Global RFID ROI 2008, 29th - 30th January, Munich, Germany (site) |  | | Employment | | - RFID Recruiters - 100% Focused on RFID Recruiting (site) |  | | Research & Whitepapers | | - RFID Marketing Strategies Report from RFID Update (site) |  | | RFID Tags & Labels | | - Ferroxtag HF tags: Smart on Metal! (site) |  |
 ABI Warns RFID Integrators to Adapt to Tech Maturation
 ABI Research observes that RFID technology has matured to the point that the role of system integrators (SIs) in the technology ecosystem is shifting, according to a recent release issued by the Oyster Bay, New York-based research firm. RFID Update spoke with ABI analyst Pete Poorman about the observation and how SIs will have to adapt.
"We have seen an era where there were RFID system integrators, companies that positioned themselves solely as that. But the technology has improved, and the knowledge of it has become more broadly disseminated," Poorman told RFID Update. "I think we're coming to an end of the era where an integrator can be successful solely by being an RFID expert."
Poorman sees three paths that SIs currently focused strictly on RFID might pursue to remain successful going forward: vertical specialization, packaged software or offerings, or developing even deeper expertise in RFID.
Vertical specialization means focusing not on a particular technology -- RFID, in this case -- but on a particular vertical, like healthcare or retail or defense. By focusing on a vertical, SIs can offer a suite of technology and consulting services to an industry that changes over time but never goes away. "RFID becomes part of their toolbelt," said Poorman, "not the primary value they deliver." He cites CACI International, which offers a wide range of solutions to the government sector.
The path of packaged software allows SIs to "productize" certain processes or systems, rather than developing custom solutions for every client engagement. "As integrators enter emerging markets, they do a lot of custom jobs," Poorman explained. "As they do more and more, they start to see a common theme among them, and best practices emerge. They can then capture that practice into a product." Selling products instead of custom solutions can be more attractive, according to Poorman, because products typically offer higher margins than services -- if there is enough volume.
An example of capturing best practices in a product is IBM's addition of RFID capabilities to its WebSphere software in the form of RFID Premises Server.
Poorman characterizes the final option for SIs as "doubling down": rather than diversifying their focus away from RFID, they develop an ever deeper expertise in it. He noted that some companies will be able to pull this off successfully, but, critically, the market demand for pure-RFID integration companies will inevitably drop, and room for only a few such players will remain.
Poorman noted that this shift for SIs, precipitated by RFID's maturation, is common in emerging technology markets. He pointed to internet adoption in the mid-nineties, when SIs existed that focused exclusively on internet connectivity and deployment. Now that the internet has matured and is ubiquitous, its functionality has been subsumed by solutions and is largely taken for granted. Poorman predicts a similar eventuality for RFID.

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| Products & Services | Real-Time WIP Visibility Appliance from Omnitrol Networks Meet the industry's most innovative award winning RFID solution that enables complete work-order traceability in manufacturing. Real-time web-based dashboards and multi-site monitoring for work-order pedigree and traceability, including proactive bottleneck management and real-time performance analytics optimizing shop-floor efficiency. All at the lowest TCO in the marketplace. www.omnitrol.com/WIP. | Tag & SpyTM: NOX Surveillance by SimplyRFID Find out "Who Took It" and "Where It Is Now" with our "Stealth to Catch the Stealthy" RFID Surveillance systems. Alerts direct to your cell phone. Unprecedented accuracy and court-usable identification. Protect valuable equipment and documents! From the people trusted by more than 2,000 DoD (Department of Defense) Suppliers. Visit: www.SimplyRFID.com |  | | Upcoming Events | RFID World Asia 2008, 8 to 11 April, Suntec Singapore RFID World Asia 2008 is THE event for finding out the transforming power of RFID for your business and its future. Sign up now for RFID Asia Summit 2008, targeted at senior-level executives; to understand and reap the benefits of this new business tool. For more information go to www.terrapinn.com/2008/rfid | SCAN & RFID CHINA 2008, June 19-21, Guangzhou, China As one of the earliest, most specialized and authoritative exhibitions in China, approved and supported directly from State Ministry, the 8th SCAN & RFID CHINA 2008 will present you the impressive up-dated development and market of RFID technology in rising China. To know more, please go to www.scan-china.com. | 5th Annual DoD RFID Summit - Feb 26-27 - Arlington, VA If you conduct business with the Department of Defense (DoD), you need to be at the DoD RFID Summit to stay abreast of the latest technology developments and take advantage of the "roll-up-your-sleeves" RFID implementation guidance that will be delivered for DoD personnel and DoD suppliers! Register now at www.DoDRFIDsummit.com. | RFID Smart Labels USA - Boston, MA - February 20-21, 2008 RFID Smart Labels USA 2008; the seventh annual analyst-driven event covers the hot RFID sectors, full technology analysis and market insight. February 20-21, 2008, in Boston, MA. Visit www.IDTechEx.com/USA to find out more and register. | Global RFID ROI 2008, 29th - 30th January, Munich, Germany Taking place 29th and 30th January, Global RFID ROI 2008 is bringing together the leading RFID practitioners from a broad cross section of industries that will give you the opportunity of discovering the real ROI behind RFID implementation. View the full programme at http://www.rfid-roi.com/downloadpdfx2.asp and to register, please call 0044 207 202 7558. |  | | Employment | RFID Recruiters - 100% Focused on RFID Recruiting Whether your company is looking for the best RFID talent or you have the best RFID talent and are looking for the best RFID employer, RFID Recruiters offers the most focused approach to your objective. To learn how the RFID industry and the RFID job market are evolving, visit www.rfidrecruiters.com |  | | Research & Whitepapers | RFID Marketing Strategies Report from RFID Update Thirty-nine pages of original research on RFID audience perceptions, including 30+ figures of tactics, content & messaging, and recommendations to guide marketing strategy. Also, Top-10 RFID company rankings based on 550+ survey respondents. View the executive summary free, with Top-3 sample rankings. Only $495 Individual License or $795 Corporate License. Available now |  | | RFID Tags & Labels | Ferroxtag HF tags: Smart on Metal! Ferroxtag is a new family of HF RFID tags suitable for operation on metallic surfaces. Ferroxtag's special ferrite antenna was developed using Ferroxcube's years of experience in ferrite technology. The high performance antenna means longer read range with a smaller tag. Visit www.ferroxtag.com |
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