Close WindowRFID Update for Wednesday, August 30th
Wednesday, August 30, 2006
Issue 433
Will Smith, Editor

Today's RFID Update
1. Featured Sponsor: RFID Applications 2006
2. Editor's Note
3. Classified Listings
4. Top Story: IDTechEx on RFID Adoption in China
5. Vertical News, Sponsors: Domino, FORTE, MTI Wireless Edge

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Editor's Note: Today's top story is the assessment of RFID adoption in China by research firm IDTechEx.

DigiTimes reports that the Taiwanese government plans to invest about $12 million annually through 2009 to establish an RFID infrastructure in the hopes of developing a domestic RFID industry that generates over $2 billion a year by 2013.

Automated material handling solutions provider FKI Logistex has won a contract to deploy RFID at the central library and 17 other city libraries in Hamburg, Germany. Read the announcement.

Lastly, the 125 million RFID ticket order we covered in yesterday's article HF RFID Market Sees High Growth and 125m Order was officially announced today. The announcement is here.
 Training & Certification
  - Hands-on RFID Training in a Real Supply Chain Environment (site)
 RFID Tags & Labels
Sponsored by Intermec
  - 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)
 Upcoming Events
Sponsored by RFID Applications
  - RFID: Evaluate, Justify & Deploy, Nov. 13-15, Las Vegas (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)
  - 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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IDTechEx on RFID Adoption in China

Research firm IDTechEx today released an assessment of RFID adoption in China. Summarized below are the key findings:
  • Large scale projects. Much of the interest in China's RFID activity is retail- and supply chain-oriented. After all, 65% of the goods sold by Wal-Mart are manufactured in China. Were these goods to eventually be tagged at the point of manufacture in China, the volumes would be enormous. However, such an eventuality is years away, if it happens at all. Most of the current RFID activity in China actually serves the domestic market. Due to the country's size, the magnitude of its RFID initiatives is often far larger than analagous initiatives in other countries. IDTechEx cites a ten million-unit smart ticket university campus deployment and a 120 million-unit purchase for pig-tagging in a single Chinese province. Consider also Confidex's contract, announced today, to provide 125 million RFID tickets to the Guangshen Railway Company (see yesterday's HF RFID Market Sees High Growth and 125m Order). Perhaps the best example is the government's ID card initiative, which will see 900 million high frequency RFID cards issued by the end of 2008. According to IDTechEx, the value of the order is $6 billion.
     
  • Government drives demand. Much of the RFID activity in China is driven by government programs. And it's not just ID cards and train tickets. Many initiatives target safety improvements, such as the tracking of miners or hazardous materials like fireworks and gas cylinders.
     
  • Dubious prospects for a Chinese standard. IDTechEx points to the Chinese desire to protect its commercial interests by retaining some autonomy with respect to RFID standardization. Executive secretary of the new national standardization workgroup Dr. Wenfeng Wang is quoted as saying, "If the RFID standards cannot be supplemented, adjusted or modified by China, the tremendous economic benefit brought by RFID will be abated." At the same time, Dr. Wang acknowledges the need for China to avoid isolating itself on the issue. Whatever route China chooses -- pursuing a domestic standard, or not -- may prove irrelevant, as the market is moving faster than the government. EPC standards are seeing adoption already, and with the recent incorporation of Gen2 into the ISO standard for ultrahigh frequency RFID (see ISO Incorporates Gen2 into RFID Standard), that adoption is only expected to accelerate. IDTechEx says that 2007 is the earliest the government could establish a Chinese alternative, giving EPC that much more time to become entrenched as the de facto standard. Recall that ABI Research also recently predicted EPC's success on the mainland due to how slowly the Chinese government is moving (see Chinese RFID Standard Increasingly Unlikely).
     
  • Numerous impediments to further adoption. The cost of RFID is felt more acutely in China than in North America or Europe. This of course makes ROI that much more elusive for would-be Chinese implementers than for their counterparts in other regions. Exacerbating this issue is the fact that corporate information systems are neither very widespread nor mature, so even if there were higher adoption of RFID in China, it would be difficult to leverage that data into an organization or between trading partners. IDTechEx points out that "nearly all the RFID deployments in China so far have been close-loop applications." Lastly, labor costs are quite low in China, even by Chinese standards. It is often more economical for a company to hire workers to complete a process manually than it is to strive for automation by deploying technology like RFID.


Read the entire article from IDTechEx


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 Pharmaceutical & Healthcare
Sponsored by Domino
An Interview with RFID Trailblazer H. D. Smith
IBM Launches End-to-End RFID Solution for Pharma
RFID Industry Implications of the FDA Update
 Distribution & Warehousing
Sponsored by FORTE
RFID Provider Intelleflex Lands $15.5m
Semi-Passive RFID Deployed at Global 3PL
RFID Practices of Manufacturers and Retailers Diverge
 Asset Tracking
Sponsored by MTI Wireless Edge
IBM to Host RFID Cattle Tracking Solution
Active RFID Provider RF Code Nails $30m Deal
Is Location Tracking in Your WiFi's Future?
 Middleware & Software Systems
RFID Middleware Change is Certain, Direction is Not
ERP Support Squeezes RFID Middleware
What Is RFID Middleware and Where Is It Needed?
A Primer on Types of RFID Middleware
 Supply Chain & Logistics
RFID: Maturing at a Natural Pace in the Supply Chain
Chinese RFID Standard Increasingly Unlikely
Philips Enters Gen2 RFID Chip Fray
 Retail & CPG
Prediction: 300m Gen2 RFID Tags Ship This Year
Intermec and Symbol Settle RFID Lawsuits
ISO Incorporates Gen2 into RFID Standard
 Defense & Government
New RFID Passport Scare -- Does it Matter?
Boeing and FedEx Fly with Active RFID
ODIN Wins $7m RFID Contract from DoD
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
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
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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RFID Update is the RFID industry daily. Launched in early 2004 to provide timely analysis of RFID industry news, RFID Update publishes editorial briefings every weekday for the growing ranks of top level executives involved in the deployment of RFID. Each issue delivers the breaking news and analysis most pertinent to successful RFID implementations, allowing readers to understand global RFID developments as they happen.

RFID Update Editor: Will Smith, editor@rfidupdate.com
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