July 22, 2004

Patent wars could stymie RFID

RFID and EPC By: ams

CRN in Royalties Expected To Increase Cost Of RFID:

The price of electronic tags used to track supply-chain goods could swell if a key standard in the emerging technology, known as RFID, winds up including royalties.

If tag makers absorb the cost, then it will certainly affect already slim margins. Competition is expected to heat up over the next year as the largest manufacturers, such as Texas Instruments Inc., start increasing shipments significantly. Tag prices are expected to drop by about 25 percent by mid to late 2005.

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