Global RFID spending to explode

 

Global revenues for radio frequency identification (RFID) products will grow by almost a third this year to reach US$1.2 illiobn..

Analyst firm Gartner said that the upward trend is set to continue, and that worldwide revenues will top US$3.5 billion within the next four years.

"The market for RFID technologies has begun to transition from compliance-oriented to revenue-generating and innovative," said Gartner analyst Chad Eschinger in a statement.

"Early adopters faced tight profit margins and pressed technology providers for lower hardware costs. Fortunately for the market, this trend has waned and innovation rather than cost is becoming a key driver for adoption."

As companies move from pilot projects to a new "exploration phase", important drivers include the need to comply with new regulations and a growing thirst for in-store inventory management projects, according to Gartner.

However, the analyst warned that customers remain cautious. "While the interest for RFID technologies is high, today's buyer is more discriminating and is cautious of over-hyped technologies," said Eschinger.

"They will be looking for greater functionality and return on investment."

Copyright ©v3.co.uk


Global RFID spending to explode
 
 
 
Top Stories
The True Cost of BYOD - 2014 survey
Twelve months on from our first study, is BYOD a better proposition?
 
Photos: Unboxing the Magnus supercomputer
Pawsey's biggest beast slots into place.
 
ANZ looks to life beyond the transaction
If digital disruptors think an online payments startup could rock the big four, they’ve missed the point of why people use banks, says Patrick Maes.
 
 
Sign up to receive iTnews email bulletins
   FOLLOW US...
Latest Comments
Polls
What is delaying adoption of public cloud in your organisation?







   |   View results
Lock-in concerns
  29%
 
Application integration concerns
  3%
 
Security and compliance concerns
  28%
 
Unreliable network infrastructure
  9%
 
Data sovereignty concerns
  21%
 
Lack of stakeholder support
  3%
 
Protecting on-premise IT jobs
  4%
 
Difficulty transitioning CapEx budget into OpEx
  3%
TOTAL VOTES: 1088

Vote