Monday, April 30, 2007

RFID: A New Identification Device

Chinnapong Somsueb
ID# 1671071
4th Position paper
MCS 760
RFID: A New Identification Device

RFID (Radio-frequency identification) is an automatic identification method relying on storing and remotely retrieving data. It is often used with devices called RFID tags or transponders. Currently, its usages are expanding and will become a part of our daily lives. Even though we do not recognize any RFID devices, the usage of them would be increase considerably. The common use of RFID would be a personal and unique identification, transport payment, and product identification.

RFID could be used for the personal identification like a biometric passport system which has already been implemented in several countries. It could prevent some kinds of skimming or cloning which could be done from the old system. Moreover, the RFID chip inside a biometric passport could store some information like smartcard does. Therefore, important information in a digital format such as signatures and images could be stored inside this chip besides the actual passport picture. Furthermore, we could also put a tiny RFID chip in our pets in order to track their position which could prevent losing them.

One of the common usages of RFID is in transportation. It could be used as the identification for toll payment. According to the fact that it would be detected in a very short period and within a few feet, several cities around the world have implemented their RFID system for years in order to avoid using actual money and papers. This system can also decrease a travel time in rush hour by avoiding paying a toll.

From a business perspective, RFID can be used instead of barcode. Merchants could track their inventory and link that data to an inventory system. Moreover, RFID can also be used as detection tool as well as theft prevention. Retailers can implement this for both item identification for matching with their inventory and prevent shop lifting.

On the other hand, RFID technology is more expensive than barcode. Its cost would affect both consumers and retailers. In addition, being a new technology, RFID will take time for people to be familiar with it. Several mistakes can happen by using RFID system, such as misuse of the RFID toll lane without the device, forgetting to deactivate before leaving the store, or vulnerability through stored information.

In conclusion, this technology could lead to a new emerging firm, such as an automobile identification, auto payment, and retail theft prevention business. In my point of view, I think that this technology has a strong potential for growth due to a variety of applications which are expanding dramatically. Not only retail, transportation, and packaging business, but also health care, pharmaceutical, and chemical businesses could implement this technology in order to improve their productivity. According to cio.com’s information, the 1.3 billion RFID tags produced in 2005, and predicted that more than 33 billion RFID tags will be produced globally by 2010. As a result, if there are a number of usages, the price of RFID would be reduced. We can use this technology with any additional features with any unpredictable applications, which can lead to convenience and accuracy.

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