So much for free beer!

March 9th, 2010

Those complementary beers at the bar might be a thing of the past.  A new RFID- enabled solution from Clear View Technologies is designed to track alcohol so specifically that it can register changes in bottle weight by 1/20 of an ounce.

Although the alcohol monitoring system is far more ideal for expensive top shelf liquors than a bottle of Bud, it could also be applied to kegs of beer, for example, to confirm that revenue matches the numbers of beers dispensed.  A keg of beer yields about 165 12-ounce glasses of beer. (See, I did learn something in college!) At $3 apiece, projected revenue from a keg is $495. A bartender could find himself in hot water if he shows significantly less revenue on a key that is tracked with RFID technology.

According to Clear View Technologies, the alcohol beverage operations of nightclubs, bars, hotels, casinos and sports venues have historically suffered from inventory and margin loss far exceeding any other business sector. Studies have shown inventory losses up to $37 billion annually, with pouring costs averaging 25 percent across the industry, according to the National Restaurant Association.

Clear View Technologies says its RFID-enabled BarMaster solution will increase the value of the business and yield a return on investment many times over by immediately reducing losses due to theft, shrinkage, sales fraud and improper free-pour behavior, while reducing time spent on inventory.

California water utility turns to RFID to track employees at remote sites

March 8th, 2010

RFID technology is being used more and more to track assets and employees in the healthcare, finance, and technology industries. The technology is slowly making its presence known in the utility sector as well.

Alco Water Service, an investor-owned water utility in Salinas, Calif., is using an active RFID solution to track employees as they enter and exit its unmanned well sites, in order to comply with federal anti-terrorism regulations. Alco Water is working with AssetPulse, an RFID systems integrator specializing in asset tracking applications.

In an interview with RFID 24-7, AssetPulse CEO Sujatha Bodapati says that Alco Water is the only utility that her firm is currently working with. However, she says that RFID technology has many applications in the utility sector, and that utilities of all sorts would benefit from the employee tracking capabilities being used at Alco, and the resulting increased efficiencies.

“The technology has actually been quite useful for them,” she says. “When there is an outage they need to send a technician, they know exactly where all their technicians are and they can actually send somebody who is closest to the problem, and that type of things has been quite useful for them. The same thing could hold true for electric utilities.”

Aside from maximizing resources, the technology has helped Alco Water to increase efficiencies. Alco, which provides water to about 30,000 customers, has nine well sites spread around a 10-mile radius of its service territory.  Each site consists of a small pump house surrounded by a barbed fence. For security reasons it is critical to have a continuous record of activities that take place at each of the pump stations. The RFID-based solution provides a time-stamped trail of who enters a pump station, what time they leave it and how much time they spend there.

AssetGather RFID asset tracking software was installed at Alco’s central server, which was networked to all the sites. The reads from the active RFID readers at various locations were collected, processed and consolidated into the AssetGather system. The web-based multi-location dashboard and reporting capabilities provided categorized views by activity-type, location and time-period. AssetGather reports also provided duration of every activity at any location, along with start and end timestamps. The ability to export these reports in to a spreadsheet-friendly format meant that they could be easily inter-operate with existing systems and processes such as time and attendance billing.

“We have been repeatedly seeing the benefits of the RFID solution from AssetPulse,”  Tom Adcock, president of Alco Water Service, said in a press release. “We have come to rely on the system to provide us an accurate historical record of critical information. The system has helped us effectively meet compliance regulations and has given us the visibility to improve our internal processes.”

Apart from customizable reports, the AssetGather system also sends out alert notifications on configurable “out-of-normal” patterns of activities. For example, rules could be set in the system to notify when any activity is noticed at a station after late evenings, or on weekends. Apart from security reasons these alerts could also be useful to ensure business processes are followed. For example, regular alerts on weekends could mean increasing number of service requests, which is an indicator to allocate more standby resources on weekends.

Experts say that many utilities are researching the technology for various applications in the utility sector, including monitoring transmission lines, smart meters, automated substations, and underground power cables (See RFID 24-7). The Tennessee Valley Authority reportedly is using RFID and other wireless sensor technology to monitor pollution levels at a coal generation plant in Kentucky. The substation there currently has about 60 to 70 RFID tags being interrogated on a daily basis.

ABI study: Some parts of RFID market will see nearly 20 percent growth through 2014

March 8th, 2010

A new study released Friday by ABI Research predicts that the global RFID market will grow in double digits until 2014, at which time the market will exceed $8.25 billion. Some of the hottest sectors will grow at close to 20 percent annually.

In ABI’s Semi-Annual RFID Market Data study, Mike Liard, RFID practice director for ABI, says that the market will reach $4.47 billion (without automobile immobilization) this year, which represents a 15 percent increase over 2009 predictions.

“Not all segments of the RFID market are created equal,” says Liard. “To 2014, the greatest growth will be found in RTLS (Real Time Location Systems), baggage handling, animal ID, and item-level tagging in fashion apparel and retail.”

Other key opportunities include electronic vehicle registration, continued penetration of RFID-enabled e-ID/e-government documents (including health cards), and continued expansion of library systems. Liard expects slow but continued progress in retail CPG supply chain management, and multiple flavors of asset management that leverage RFID technologies, including specialty passive UHF tags.

“Modernizing” applications for RFID will grow more rapidly than their “traditional” predecessors such as access control, automobile immobilization, electronic toll collection and others that account for slightly more than 61 percent of the market today. While those traditional apps are expected to grow six percent annually for the next four years, modernizing applications like animal ID, asset management, baggage handling, cargo tracking and security, POS-contactless payment, RTLS, supply chain management, and ticketing are forecast to grow roughly 19 percent.

This year’s $4.47 billion figure does not include automobile immobilization, nor do any of the study predictions. Automobile immobilization is the largest single RFID application and has a low growth rate which impacts overall market size, so it is often excluded when examining market trends.

Alien raises $10.9M in venture capital; investment total just shy of $340M

March 3rd, 2010

There might be a menu upgrade in store for next week’s Alien Technology User Conference after Morgan Hills, Calif.-based Alien hauled in another $10.9 million in venture funding on Wednesday. The cash infusion is the company’s first since it raised $38 million in October 2008 during one of the mist difficult financial periods in U.S. history.

The additional funding can only be seen as a positive for Alien and the RFID sector, which has continued to draw venture capital better than most industries during the recession and its slow recovery. Alien says that it established an all-time record volume quarter for RFID IC and inlay sales for the quarter ending December 2009. Alien’s inlay and IC volumes have been growing at a rate of approximately 50 percent quarter over quarter for the past two quarters.

 With the new cash, Alien has now raised just shy of $340 million since it was founded in 2004. The firm has landed some mega investments, including the $66 million it raised in 2005. The recent round was led by existing investors Advanced Equities, New Enterprise Associates (NEA), and Sunbridge Partners. One has to wonder if investors are getting antsy about their opportunity to cash in on their investment. Their chance to do so in 2007 fell apart when a proposed initial public offering at $6 was tabled after it didn’t draw enough interest. The company went back to investors for $33 million in capital in October 2008.

Investors typically look for an exit strategy once a company begins to hit maturity. Those exits can take the form of an IPO, which is unlikely for Alien, at least for this year. More often, investors recoup their investment by initiating a merger or buyout. Five members of Alien’s board of director’s represent venture investment firms holding a stake in the company.

Next week, more than 100 partners and end users from around the world will gather at the 2010 Global Alien User and Partner Conference in Dayton, Ohio, next to its RFID Solutions Center.

Motorola tops ABI Research passive UHF handheld RFID reader vendor matrix

March 3rd, 2010

Who’s the best of the best when it comes to vendors of UHF RFID handheld readers? According to ABI Research, Motorola is king.

Motorola is ranked at the top of the latest Vendor Matrix — a worldwide evaluation of handheld reader vendors — released by ABI Research this morning. Convergence Systems Limited (CSL) and Psion Teklogix Inc. claimed the second and third spots. It should be noted that product performance benchmarking is not a focus of the Vendor Matrix, although it is taken into consideration. Rather, when it comes to innovation, ABI examined the vendor’s product offering mix and the overall designs of readers, GUI and/or user input configuration, and critical performance enhancements such as battery life expectancy, antenna design, and wireless connectivity options. Motorola’s industry leadership, influence, and knowledge transfer were evaluated, as well as perceived strength and innovation in engineering.

As for the implementation portion of ABI’s research, the firm scrutinized the vendors according to the following criteria: manufacturing capabilities and strategy; pricing strategy and perceived price-to-value quotient; overall market position, leadership, and strength; perceived strength within verticals and/or applications targeted/served; persistent market presence and experience; partner strategy, approach, and support capabilities; scope of distribution channels; and go-to-market strategy and approach

“Mobile computing, bar code scanning, and RFID are highly complementary technologies and major strengths for Motorola, helping drive handheld product innovation within the organization,” says Michael Liard, RFID Practice Director. “The company’s global reach, partner/customer support capabilities, installed base, and an approach to RFID that cuts across many industries while addressing the needs of verticals all helped bolster the overall implementation score relative to the competition.”

The Passive UHF RFID Handheld Reader Vendor Matrix is an analytical tool developed by ABI Research to provide a clear understanding of vendors’ positions in specific markets. Vendors are assessed on the important parameters of “innovation” and “implementation” across several criteria unique to each vendor matrix.

Verayo launches next generation of unclonable RFID chips

March 2nd, 2010

For those who like to clone or hack RFID-enabled mass transit passes and access control cards, life is about to change. The free ride might be over.

Verayo, a San Jose, Calif.-based provider of security and authentication solutions, today unveiled the Vera M4H, the first chip of its new product family. The new tag will deliver authentication and security to markets such as mass transit tickets, secure IDs and access cards and consumer product anti-counterfeiting, where cost has been an impediment for adoption.

Verayo works with various RFID tag vendors such as Sirit, SMARTRAC, UPM Raflatac and others to build RFID tags for various applications.

“Enhanced security and authentication for RFID solutions will reduce end user uncertainty and facilitate adoption in a diversity of applications,” said Drew Nathanson, Director of Research Operations at VDC Research.

Providing RFID chips with silicon “fingerprints,” Verayo’s PUF technology exploits the unavoidable variations in the IC fabrication process to uniquely characterize each chip. Since these manufacturing process variations are impossible to control, model or replicate, each PUF-based IC is rendered effectively unclonable, ultimately improving security and reducing counterfeiting concerns

The company plans to unveil the second product in the Vera M4 line this fall. To learn more about Verayo’s innovative PUF technology, visit the company’s YouTube channel at www.youtube.com/verayovideo

RFID drives patient experience at Disney Family Cancer Center

February 24th, 2010

The highly anticipated opening of the new Roy and Patricia Disney Family Cancer Center occurred this month, and the high-tech hospital — and the RFID technology that powers the patient experience — is getting rave reviews.

RFID 24-7 initially reported on the hospital’s plans for using RFID technology in September.

Hospital executives deployed a comprehensive, integrated RFID solution that relies on ThingMagic’s Astra UHF RFID readers to relay information from low profile passive RFID tags on patient’s ID badges to centralized applications that retrieve patient information in order to enhance the patient experience. This information includes patient preferences to activate custom hospital room settings – music, lighting, temperature – and location data that are sent to staff phone displays, allowing clinicians to greet or locate patients quickly.

“I walked through these doors and I swear it was like angels singing. I’m not a really spiritual person, but this is so beautiful the way it puts you at ease by diverting your mind from your treatment and using nature to help you relax,” said Julie Stevens, Disney Family Cancer Center’s first patient. “When I was treated at the hospital, I would ignore the scary room. I would close my eyes and put my mind in another place. I don’t have to do that here. They take me to that place.”

ThingMagic Astra readers are deployed as part of an innovative solution composed of complementary RFID products including the Reva Tag Acquisition Processor (TAP) from Reva Systems. RFID tag data acquired by the ThingMagic readers are sent to the TAP to determine “location,” and then delivered upstream to a visibility application for viewing by the clinical staff. Data from these RFID subsystems are also provided to the security and environmental control systems of the hospital. This integrated solution provides a platform for expansion as the Disney Family Cancer Center explores future plans to use RFID to further enhance patient experiences and maximize the hospital’s operational efficiencies.

“Passive RFID technology has been proven to lower costs and improve efficiencies in a hospital setting, but the work done at the Roy and Patricia Disney Family Cancer Center shows it can impact something even more important – patient well-being,” said Yael Maguire, co-founder and CTO of ThingMagic. “As new health facilities open around the world, the Disney Family Cancer Center will be a model to follow for its dedication to patients through the most innovative uses of RFID technology.”

Impinj unveils Monza® 4 family of tags; enhanced functionality to drive market

February 23rd, 2010

As the Winter Olympics unfold, athletes have elevated their performances to new levels, nearly re-defining their sport in the process. Lindsey Vonn turned to men’s skis to win the women’s downhill. Shaun White re-invented snowboarding with his Double McTwist 1260 en route to winning gold.

Impinj hopes to similarly raise the bar in the RFID sector with today’s introduction of the Monza 4 line of premium tag chips. The Monza 4 family is expected to speed RFID adoption by delivering a faster return on investment and operational improvements. Impinj vice president of marketing Kerry Krause says the Monza 4 line should account for 10-20 percent of sales by the end of the year. The popular Monza 3 tag, targeted at cost-sensitive applications that require only basic UHF Gen 2 functionality, will remain a major force in the Impinj portfolio.

“We will be building and selling Monza 3 for several years to come,” says Krause. “These new tag chips are premium products that represent incremental business for us and we believe they will also enable new applications.”

The Monza 4 family of chips is expected to be the go-to brand for industries that seek enhanced security standards, increased read and write reliability, and the greater memory offered by the new line, which includes four high-performance configurations: Monza 4D, 4E, 4U and 4QT. Each configuration addresses specific challenges for varied applications. 

“I view these as innovative steps in the marketplace,” says Mike Liard, research director for RFID at ABI Research. “I think the Monza 3 will still be their flagship product moving forward, but the Monza 4 family offers a new avenue for some additional customers and partners looking to enable new applications.”

 Check out today’s issue of RFID 24-7 for behind the scenes information on the Monza 4 product line.

RFID’s role in the U.S. pullout of Iraq

February 15th, 2010

Great story here from the Digital Video & Imagery Distribution System on the role that RFID technology is playing as the U.S. begins to withdraw equipment from Iraq in preparation for this summer’s withdrawal of U.S troops. Read the story here

More silly RFID legislation – this time from Virginia

February 11th, 2010

It’s too bad that state legislators continue to waste their time and energy on legislation that prohibits the forced injection of RFID chips into humans. Wednesday’s Washington Post carried a story about legislation in Virginia that would prohibit unwanted injection of RFID tags. Seriously, do the pols in Virginia really think that’s going to happen?

Unfortunately they are not alone, as similar laws are on the books in California, North Dakota, and Wisconsin. It sends a strong message that lawmakers still do not understand the technology. Being forced to roll up your sleeve to have an RFID tag placed in your bicep is akin to being punched in the face or assaulted in some other way — which is a crime. Yet, the Washington Post covered the story in-depth. Here’s another link to an opinion piece I wrote about this very topic three years ago in DC Velocity magazine. I guess the situation has not improved.