RFID looms on the horizon
There’s a good article on RFID at CIO Magazine. Retailers want to use radio frequency IDs to solve complex problems like loss, theft, and out-of-stock situations. They will be able to track their product through the distribution channel from manufacture to checkout and beyond (the last part worries some people). Walmart announced that its top 100 suppliers must put RFID tags on all pallets, cases, cartons, and high-end products by January 2005.
Putting some of the protests aside, implementing RFID may not be easy afterall. For one thing, most retailers’ systems have been written to hold 11-digit UPC bar codes, while RFID tags are composed of 13 digits. An initiative called Sunrise 2005 mandates that companies be capable of scanning and processing 14-digit bar codes by January 2005. Another problem is the shear amount of data generated from tracking RFIDs, especially at the product level. One idea it to distribute the intelligence and computing across a wider network called “edge computing.”
Meanwhile, RFID tags are a bit expensive at 25 to 30 cents each. But as the cost gets down to 5 cents, even that pack of gum may have an RFID tag. Big brother watching, or efficiencies towards less expensive and more available products?