RFID Impact Will be Widespread, According to Incucomm Research

DALLAS (October 7,2004) -- By 2008, RFID will influence companies and markets currently perceived as disconnected from RFID, according to Incucomm. The assessments were based on interviews and surveys of executives and a review of over 650 firms in retail, IT services, software, semiconductors, defense, pharmaceuticals, RFID and supply chain management. The report offers the most comprehensive, international look at RFID yet published.

DALLAS, TX (PRWEB)October 7, 2004 - By 2006, EPC type RFID will dominate the volume of tags sold. According to Matthew Bowers, Incucomms Chief Development Officer, Because of new price-performance points, EPC strongly influences other markets, including older RFID markets such as access control."

Developments in RFID could reshape the semiconductor, IT services and enterprise software markets as well," Bowers said. The study outlines the nature of these strategic issues.

The report maps the value chain, examining costs, benefits and strategies at each layer. The study compares RFIDs potential for adoption in retail, defense, and pharmaceutical applications, concluding retail will use the majority of tags, equipment, and services.

Incucomms research found RFID growth is being enabled by Electronic Product Code (EPC) standards. Major retailers will generate billions of dollars in cash and profits by implementing RFID within EPC standards. The competitive implications are powerful; retailers must implement RFID as peers do. However, some suppliers may enjoy more benefit than retailers. The report shows RFID provides opportunities at every point in supply chains.

After considering dozens of retailers around the world, Incucomm research predicts five or more top US retailers will implement RFID by 2008. The report provides a summary of retailers currently conducting or planning RFID pilots.

Of more than 650 candidate firms, the study found fewer than 20% had a potential role in EPC/retail type RFID. The study lists more than 260 firms in the RFID ecosystem, over 100 firms potentially positioned for retail EPC/RFID, and lists international RFID firms. To understand the dynamics of the market, Incucomm used a model with more than 60 factors.

RFID is real; its happening now. If you enter 'RFID on Google, you get about as many hits as 'Wal-Mart" and more than 'middleware. But much of the buzz is based on flawed assumptions," said John Volpi, Incucomms, CTO. Pessimists who claim RFID is hype, and optimists who predict early widespread deployment are misstating important facts," he added.

The study is over 375 pages with more than 200 tables and graphs. It forecasts uptake of RFID tags and equipment. It provides market segmentation for RFID tag providers, for systems integrators, software, middleware, etc. In considering all types of RFID technology, including chipless," the report assesses viability of silicon tags in the long term. The study provides a survey of chipless techniques, and their ablity to match the needs of the retail supply chain.

In keeping with Incucomm practice, a brief synopsis and table of contents is available on Incucomm's website where the entire study may also be purchased. (http://www.incucomm.com)

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About Incucomm -- Incucomm and Incucomm Consulting are based on a seasoned team of strategy, business, and technology professionals. Founded in March 2000, the company is based in Dallas Texas, and is privately held.

Incucomm Consulting provides services to more mature companies, ranging from large publicly traded corporations, to venture backed firms, and venture investors.

Incucomm is on the web at www.incucomm.com Incucomm is a registered trademark of Incucomm, Inc. Other names represent trademarks of the respective firms.