RFID Technology

1. RFID Technology What is it? (And why should you care?)

2. RFID – What is it? • Radio Frequency Identification • Three parts to an RFID implementation: • Tag (chip and antenna) • Reader • Database & software • Tag holds unique data – a serial number and/or other unique attributes of the item

3. RFID Uses • Retail & Distribution • Contactless Payment • Keyless Entry • Livestock Tagging • Pharmaceuticals • Logistics Assets (containers, trailers) • Pet Identification

4. Bar Codes on Steroids “RADIO FREQUENCY identification (RFID) tags are like bar codes on steroids; they're to traditional SKUs what Robocop was to your ordinary cop on the beat.” - CIO Magazine

5. Bar codes • Bar codes are scanned by hand-held terminals or fixed scanners mounted at conveyors, in portals or in 270 deg./360 deg. tunnel configurations. Bar code scanners are used for scanning RFID tags in all business areas.When bar codes are scanned by hand-held terminals, data from the bar codes is processed by hand-held terminal applications.

6. RFID Benefits • More information • Individual item data & tracking • Fast • No contact • No line of sight • Miliseconds • Simultaneous read of multiple items

7. RFID Tag Attributes

8. Tag types • Passive tags use the reader field as a source of energy for the chip and for communication from and to the RFID reader. The available power from the reader field is reduced rapidly with distance, resulting in a limited communication distance of. Typical reading distances are: 0-10 cm for (125 KHz), 0-80 cm for (13,56 MHz), 0-5m for (860 Mhz – 930 Mhz). • Semi-Active (battery assisted backscatter) tags have built-in batteries and do not require energy from the reader field to power the chip. This allows them to function with much lower signal power levels, resulting in greater distances of up to 100 meters. • Active tags are battery powered devices that have an active transmitter onboard. Unlike passive tags, active tags generate RF energy and apply it to the antenna. This autonomy from the reader means that they can communicate at distances of over several kilometers.

9. Frequencies used • RFID tags covers frequencies ranging from 125kHz, 13,56 MHz, 433 MHz, 868-923 MHz and 2,45 GHz. The frequency of the tag is selected according to customer requirements. • As a Lyngsoe Systems guideline, RFID tags with a low frequency (125kHz and 13,56 MHz) are used in enviroments with metal surroundings, where assets are moving at low speed and a low number of tags are scanned at the same time. • RFID tags with a high frequency (433 MHz, 868-923 MHz and 2,45 GHz) are used, where assets are moving at high speed and a high number of tags are scanned at the same time.

10. Passive RFID Tags EXAMPLE: “Traditional” tags used in retail security applications • Tag contains antenna and a small data chip • Tag is powered by the electromagnetic field generated in doorways, reflecting back a weak signal containing data

11. Active Tags EXAMPLE: military; transportation assets • Battery Powered tags • Greater range – 100m • More information – Kbytes • Can integrate sensors • Temperature, GPS • More expensive • Shorter life span

12. RFID readers • The RFID readers often replace manual scanning with handheld terminals, paper based work processes or manual data entry. The RFID readers are most suited for applications with controlled, automated work processes. The results is significant savings in manpower, increased scanning speed and increased productivity.RFID readers are used for automatic data capture and processing of RFID tags mounted on a large range of products and assets. RFID readers covering frequency range from 125kHz, 13,56 MHz, 433 MHz, 868-923 MHz and 2,45 GHz

13. Status Today Issue #1: RFID Mandate Madness • But will suppliers make the right choices?

14. Status Today Issue #2: Lack of worldwide tag, reader, data standards • Companies may later have to scrap choices • EPCglobal (www.epcglobalinc.org) trying to solve • China a wild card

15. Status Today Issue #3: Tag costs too high • Goal is 5¢ tag; can’t afford $2 tag on 99¢ item • Biggest limit on widespread business use

16. Status Today Issue #4: Lack of Software • What to do with all that data? • Problem: “Petabytes” • Answer: “Middleware”

17. Status Today Issue #5: Privacy concerns • Item level tagging • Tagging the Euro: http://www.eetimes.com/story/OEG20011219S0016 • Jackson: http://www.prisonplanet.com/022904rfidtagsexplode.html • http://www.rfid-weblog.com/archives/money_to_burn_debunking_another_rfid_myth.html • Tagging people “Andrew Jackson’s Exploding Eyeball” Urban legend “Mark of the Beast” Urban legend

18. The Future "Imagine an Internet of things, where everyday objects, rooms, and machines are connected to one another and to the larger digital world.” - Business 2.0

19. Has your IT department tested and deployed RFID (Radio Frequency Identification) technology? Data: InformationWeek survey of InformationWeek 500 executives

20. EPC (Electronic Product Code) • The creation of the EPC (electronic product code) coupled with lower tag costs, and the mandated adoption of RFID by Wal-Mart and Tesco for all their suppliers by 2005-6 has been the key accelerator driving RFID adoption. • Furthermore, the European Parliament has announced legislation, which obliges all goods to be traceable throughout the supply chain by 2005. • The use of RFID combined with the EPC promises to provide data about products never available before. Many items produced will eventually have their own unique ID numbers. All parts of the supply chain including manufactures, distributors and retailers will be able to have instant access to information about an individual product. • RFID is not expected to replace barcodes simply because tags are still too expensive even though their prices have fallen to around 20 cents in volume versus 0.2 cents for a bar code label. • Adoption is therefore likely to happen first at the Palette and Crate level, then as technology advances and costs reduce further, we can expect to see tags on more and more high value items. • The wide adoption of RFID across the supply chain will bring significant benefits leading to reduced operational costs and hence increased profits.

21. RFID in Norway (these reports are in Norwegian) • GS1 in Norway (http://www.gs1.no/cgi-bin/ean/imaker?id=10033– Provides Global Trade Item Numbers on products.) and EPCglobal Inc owned by GS1 is internationally responsible for standardising RFID under the name Electronic Product Code, EPC, in the same way that GS1 does it for barcodes. (See http://www.gs1.no/cgi-bin/ean/imaker?id=34672&tvingmal=1231 ). • Research money is given to RFID. • Smart vareflyt - hvor norsk dagligvarebransje ønsker å skaffe seg en bedre kontroll av matvarer som skal ut til konsumenten. Målet er å utvikle intelligent emballasje gjennom å ta i bruk RFID. Ved å feste en liten radiobrikke til matvaren skal det bli mulig å kontrollere veien fra råvare til ferdig produkt inklusive transport og lagring i butikk. Ømfintlige matvarer kan utstyres med temperatur- og tidssensor slik at mottaker kan sjekke om varene har ligget varmt eller er blitt skadet. Prosjektet ledes av Nordplasta AS, men hele verdikjeden er representert i prosjektet; både produsentbedrifter, logistikkbedrifter, grossister og detaljister, i tillegg til kunnskapsleverandørene SINTEF, Østfoldforskning og RFID Innovasjonssenter AS. (See http://www.forskningsradet.no/servlet/Satellite?c=GenerellArtikkel&cid=1166550801733&p=1119339919270&pagename=innovasjonsarena%2FGenerellArtikkel%2FVis_i_dette_menypunkt&site=innovasjonsarena )

22. Developments in Adoption • “A recent article in Financial Times on Wal-mart's RFID policy in 2007 said that the giant retailer doesn't want to step back from its original objectives. Wal-Mart has said it will maintain the "aggressive" RFID plan in spite of what analysts are calling continued skepticism among suppliers and retailers about the system.According to a recent article retailer now expects to have five distribution centers and 1,000 of its US stores - about one in four - equipped with RFID readers by April. It wants more than 600 suppliers to be using the tags this year - 300 more than last year.Consistent plans of Wal-mart, Tesco and Metro Group, in a situation that the general populace has taken a "Wait and See" position, brings this question to the mind that whether we'll see a huge change in RFID adoption level or not...” (www.rfid-weblog.com , Feb 25, 2007)

23. RFID adoptions • In 2006 alone over one billion RFID tags were sold worldwide and by 2016 it might be over 500 times this number. The European market is estimated to grow from €500 million in 2006 to €7 billion by 2016. http://www.in-pharmatechnologist.com/news/ng.asp?n=75059-impinj-european-commission-rfid EU will write rules about the use of RFID and privacy: 2006-2008http://www.theglobeandmail.com/servlet/story/RTGAM.20070321.gtprivacy0321/BNStory/Technology/home • § Create in 2007 an RFID Stakeholder Group to provide advice and assistance to the Commission in developing a European policy position concerning RFID applications. This will be carried out in association with, among others, the Article 29 Data Protection Working Party;§ By mid 2007, propose amendments to the e-Privacy Directive to take account of RFID applications, as part of the EU Telecom Rules' review;§ Publish, by the end of 2007, a Recommendation on how to handle data security and privacy of smart radio tags to Member States and stakeholders. Both the Data Protection Directive and the ePrivacy Directive set rules for processing personal data which must be respected irrespective of the underlying technologies, and the Recommendation would further clarify their application to RFID; § In association with the Stakeholder Group, analyse the economic and social effects of smart radio tags and other technologies, particularly focusing on privacy, trust and governance, leading to an assessment of policy options and need for further legislative steps, by the end of 2008.

24. Examples of use • www.lyngsoesystems.com Reference: Lyngsoe Systems - Supply Chain Solutions - provides the following solutions: • Food & Product Traceability • Warehouse Management • Asset Management • Management Information • Vehicle Management

25. RFID Technology – on youtube • http://www.youtube.com/watch?v=llnUJkH0Mlc (IBM) • http://www.youtube.com/watch?v=-ZYY85IyDNM (IBM – super market) • http://www.youtube.com/watch?v=4Zj7txoDxbE (Metro Group)

26. For More Information RFID Journal rfidjournal.com InformationWeek informationweek.com RFID Weblog rfid-weblog.com