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Governments Influence RFID Adoption

In the United States, private investment is advancing RFID adoption. But in Asia—and even more so in Europe—government funds are jump-starting RFID research and pilots, and helping the regions stay competitive.


By John Edwards

Dec. 1, 2007—Adam Adgar is a member of a research team that's working on an exciting RFID project, one that promises to help businesses better monitor the condition of routinely used mechanical systems, such as pumps and electric motors. But the parties behind Project Dynamite (Dynamic Decisions in Maintenance) don't expect private investors or corporate partners to foot all their expenses. Instead, most of the money that's energizing Project Dynamite is coming from the European Commission, the European Union's executive branch.

Project Dynamite is one of several RFID-related projects being funded by the EC, reflecting the EU's commitment to be on the leading edge of RFID adoption. "RFID is seen as a key technology for enhancing competitiveness of economies and for improving the life of citizens in tomorrow's information society," says Joao da Silva, director of converged networks and services for the EC's Information Society and Media Directorate-General. "Most experts agree that this technology will become pervasive in the long term."



The EC's dedication to RFID funding stands in stark contrast to the United States, where government-funded RFID is almost exclusively limited to projects with direct military or national security potential. Asian governments, including those in China, Japan and South Korea, are enthusiastic RFID supporters, but lack the EU's regional focus. With dozens of projects and trials completed, planned and in progress, Europe leads the world in government RFID involvement and arguably has the most cohesive vision for future development.

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