 | Friday, August 25, 2006 Issue 430 | | Will Smith, Editor |  |
 | Editor's Note: Today's top story is a contributed article from Greg Aimi, who argues that despite recent doubts about RFID in light of its slower-than-predicted uptake throughout the supply chain, the technology is in fact following a very predictable, natural lifecycle of adoption. Greg is research director at AMR Research, where he provides vendor research and best practice analysis in supply chain management, global trade, and visibility and event management.
Enterprise data collection solutions supplier Acsis has announced $10.5 million of additional capital to finance company growth in the RFID market.
Lastly, Microelectronics Technology Inc. (MTI) of Taiwan has announced EPCglobal Gen2 certification for its RFID reader. The company says it is the first Gen2 reader certification for an Asian vendor. Details here. |
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| Training & Certification | | - Hands-on RFID Training in a Real Supply Chain Environment (site) |  | | | - Get your free sample Intermec Rigid RFID Tag now! (site) | | - Lowry Smart Trac Labels: Depend on 100% Good Labels (site) | | - CCL Label - Your Global Partner for Labeling & Packaging (site) |  | | | - RFID: Evaluate, Justify & Deploy, Nov. 13-15, Las Vegas (site) | | - Organic RFID 2006: October 11-13, 2006 (site) | | - RFID Journal Industry Summits, September 26 - 28, Chicago (site) | | - RFID Journal LIVE! Europe 2006, October 25 - 27, Amsterdam (site) | | - RFID Journal LIVE! Canada, November 8 - 9, Toronto (site) | | - LogiPharma 2006, Sept. 18-21, The Four Seasons, Austin, TX (site) | | - EPCglobal US Conference 2006, October 17-19, Los Angeles (site) |  | | Products & Services | | - RFIDSupplyChain.com: Save on RFID Tags, RFID Readers & More (site) | | - Peel-Stick-Ship: DOD RFID Compliance from SimplyRFID.com (site) |  | | RFID Readers | | - Ensyc Technologies: $395 UHF Desktop Reader (site) | | - MTI Wireless Edge: high-quality low-cost panel antennas (site) |  | | Employment | | - RFID Recruiters - 100% Focused on RFID Recruiting (site) |  | | Research & White Papers | | - Optimize Your Network in Ten Minutes Flat (site) | | - 2006 RFID Marketing Strategies Report from RFID Update (site) |  |
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 RFID: Maturing at a Natural Pace in the Supply Chain
 By Greg Aimi, AMR Research
 Two years ago, Wal-Mart's RFID mandate sent industry watchers into a frenzy. The buzz surrounding RFID was similar to the enthusiasm elicited by a new fashion trend or a hot holiday toy. Although the excitement for RFID in the supply chain has diminished comparatively, there are significant differences between RFID and these fad items. RFID is a technology of tremendous value. It is working its way through its expected evolution, and won't fully realize its potential until it matures.
RFID evolution: The lifecycle
RFID is already being used in many successful applications today outside the supply chain -- who doesn't have an RFID-enabled card key for entry into corporate offices? But with the supply chain, there's a natural lifecycle that is in progress and that must be followed in order to realize the technology's potential.
AMR Research identifies three primary stages in its progression: the Pioneer Phase, the Growth Phase, and the Broad Adoption Phase. The industry has now entered the growth phase. It's the point when companies are "getting it done." That's not sexy or chic; it's hard work. It is the time of discovery, of finding practical and valuable ways to apply the technology, and then making them industrial strength.
Wal-Mart mandates fast-forwarded RFID usage during the Pioneer Phase. Those that participated are working on industrializing the applications, expanding their rollouts, and leveraging the real-time, detailed data that is available from tracking inventory across the supply chain and out to the stores. These same companies are now the leaders in these early days of the Growth Phase.
Growing pains
During the Growth Phase, several factors must work together simultaneously to ultimately set up the environment for the transition past the inflection point and into the Broad Adoption phase. In order for growth to occur:- Standards must stabilize
- Physical technology has to improve to achieve necessary reliability
- Processing intelligence needs to be developed (e.g., process path inference engines)
- Large infrastructure and electronics companies must activate
- RFID readers and data processing infrastructure must become pervasive
- Prices must drop -- volume has to increase
Metcalfe's Law states that "the value of a network increases exponentially with the number of nodes." Essentially, a network becomes more useful as more constituents are connected. At Broad Adoption Phase, participating in the network is no longer a choice -- it becomes a necessity.
Patience is a virtue
RFID will transition from optional to necessary technology when the infrastructure to support pervasive readability across everyone's supply chains and at important geographical points exists. That same expansion in pervasive infrastructure will initiate volume-lowering prices. Growth will occur over time and allow the physical technology to advance from its infancy into maturity and reliability. At some point in the next five years, the network effect will take over, the industry will transform through an inflection point, and broad adoption will be the norm.
RFID is growing up along a predictable technology maturity curve. Certain companies -- likely channel masters in many industries -- will play a key role in advancing the technology by imposing its use on suppliers or customers. Anecdotally, in 1975, barcodes were widely ridiculed. Today, locating a product without a barcode is virtually impossible. RFID needs a bit of runway, but eventually the technology -- like barcodes and so many other technologies that preceded it -- will get off the ground.
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| Training & Certification | Hands-on RFID Training in a Real Supply Chain Environment Attend hands-on RFID courses with RFID Applied2U to test your actual products and gain knowledge you can apply immediately. Courses include: CompTIA RFID+ Certification, RFID Operations and Project Management, RFID for Managers, Wal-Mart Compliance, RFID Applications, and RFID Networking as well as custom courses. Visit www.rfidapplied2u.com to enroll. |  | | RFID Tags & Labels | Get your free sample Intermec Rigid RFID Tag now! Intermec’s Large Rigid tag is a truly passive UHF radio frequency identification (RFID) transponder that delivers superior performance on a variety of surfaces. The tag is available in both Gen 2 and ISO 18000-6B versions, works over a broad range of temperatures and withstands exposure to harsh substances. Rigid RFID Tag | Lowry Smart Trac Labels: Depend on 100% Good Labels Lowry provides a comprehensive range of UHF and HF labels. With innovation and investment in the RFID marketplace, Lowry offers more than label conversion. Lowry's RFID Lab assists with inlay selection and label materials to deliver optimum performance. Rely on Lowry's experience and quality commitment. 1.800.733.0210 x 312 or visit www.lowrycomputer.com | CCL Label - Your Global Partner for Labeling & Packaging CCL Label is North America's leading full-service provider of pharmaceutical and healthcare labeling and packaging solutions. CCL incorporates the latest RFID technologies into it's labels to provide our customers with labels that are smarter with broader applications. CCL Label puts the Power Behind Your Brand. 609.433.3700 ext.127 or visit www.ccllabel.com |  | | Upcoming Events | RFID: Evaluate, Justify & Deploy, Nov. 13-15, Las Vegas Combines the latest research from RFID Alliance Lab, an independent testing facility at the University of Kansas, with a practical 12-step implementation guide developed by a leading RFID pioneer. You’ll study equipment and programs, learn how to question vendors, and determine your ROI. www.continuinged.ku.edu/programs/rfid | Organic RFID 2006: October 11-13, 2006 Conference location: Hilton San Diego Resort in San Diego, CA. Co-chairs are Dr. Daniel Gamota, Director, Printed Electronics, Motorola and Dr. Kiyoshi Yase, Deputy Director of Photonics Research Institute, AIST. Attendees will receive a comprehensive assessment of organic RFID technology capabilities, application requirements and implementation issues. www.intertechusa.com/orfid.html | RFID Journal Industry Summits, September 26 - 28, Chicago Four co-located summits with a shared technology exhibition address the unique needs of the retail/consumer products goods, pharmaceutical, manufacturing and aerospace industries. The event brings together leading end users, systems integrators, consultants and vendors to address critical adoption issues in a highly interactive and collaborative setting. Save 10% with code RFIDUPDATE. http://www.rfidjournal.com/industrysummits | RFID Journal LIVE! Europe 2006, October 25 - 27, Amsterdam The only European RFID event addressing critical adoption issues affecting European companies. This RFID event is where the European RFID community—end users, leading vendors, systems integrators, consultants and others—gathers to learn, plan strategies, network, buy and sell, and share ideas. Plus CompTIA RFID+ training. Save 10% with code RFIDUPDATE. http://www.rfidjournal.com/europe2006 | RFID Journal LIVE! Canada, November 8 - 9, Toronto RFID Journal LIVE! Canada in partnership with EPCglobal Canada is the RFID event for companies doing business in Canada. The conference and exhibition has the educational content, technology solutions and networking opportunities you need to learn how RFID can benefit your company today. Plus CompTIA RFID+ training. Save 10% with code RFIDUPDATE. http://www.rfidjournal.com/livecanada | LogiPharma 2006, Sept. 18-21, The Four Seasons, Austin, TX LogiPharma, now in its 5th year, is the best investment you'll make in your supply chain this year. This definitive pharmaceutical supply chain conference will help you ensure that your supply chain is controlled, efficient, and leverages profitability at every level. Register now with code XM59CL and receive a 15% discount! | EPCglobal US Conference 2006, October 17-19, Los Angeles The EPCglobal US Conference provides you with accurate and impartial information on the latest standards/technology to help you build & refine your EPC/RFID implementations. Connect with leading end user pioneers - Meet with industry experts - Learn the secrets of successful EPC/RFID deployment - Optimize implementations from strategy to execution. www.EPCglobalUs.org/conference |  | | Products & Services | RFIDSupplyChain.com: Save on RFID Tags, RFID Readers & More Looking to comply with RFID mandates or implement RFID in your business processes? RFIDSupplyChain.com -- a leader in RFID hardware, software, services and solutions -- provides the latest RFID tags, readers, antennas, smart labels, printers and portals from Alien, Symbol, Intermec, Omron, Printronix, Zebra and BlueBean. Purchase RFID Technology Solutions | Peel-Stick-Ship: DOD RFID Compliance from SimplyRFID.com SimplyRFID Pro-Tags provide instant DOD RFID compliance for as little as $.70 cents per pre-programmed tag. SimplyRFID creates pre-packaged RFID solutions that are simple, tested, and proven. Visit us at www.simplyRFID.com to find a proven solution for your RFID need. |  | | RFID Readers | Ensyc Technologies: $395 UHF Desktop Reader The RFID Block reader is powered by a simple USB connection, works with EPC Class1 Gen1 or Gen2 tags and makes it easy for your business to meet mandates or simply investigate the potential of RFID. Developers will also find the RFID Block a useful tool for application testing. Visit: www.ensyc.com | MTI Wireless Edge: high-quality low-cost panel antennas * Covering all applicable frequency bands for Passive and Active RFID * Various mechanical configurations for Indoor and Outdoor applications * Single or Dual Polarities * Linear or circular polarities * High robustness and endurance * Field proven in harsh environments * Enhancing system performance * Solutions tailored to customer needs: www.mtiwe.com |  | | 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 & White Papers | Optimize Your Network in Ten Minutes Flat In this first installment of FORTE's "FOUR IN FORTY" whitepaper series, learn how to optimize your network in five steps. Make your network work for you and achieve distribution zen. Get the whitepaper, "Optimizing Your Network". | 2006 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 |
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