Home Internet of Things Aerospace Apparel Energy Defense Health Care Logistics Manufacturing Retail

Summary of Baird RFID Monthly for December

Baird has released its December report. The 13-page document is a worthwhile read for anyone requiring an overview of the industry's last 30 days. For those without time to do so, we have reprinted here the report's summary.
Dec 19, 2006This article was originally published by RFID Update.

December 19, 2006—Wealth and asset management firm Robert W. Baird & Co. has released its RFID Monthly for December. Baird has given RFID Update permission to reprint the Key Developments section (below), which offers the report highlights. For those wanting more detail, the complete 13-page document is available free here.

The standard matrix of primary RFID providers is on page 10, and following are the Key Developments:
  • Year in Review -- Market Progress Better Than Weak Volumes Suggest. While overall tag volumes will come in well below expectations for 2006, we view RFID as having good success in several key areas, most notably with Gen2. Industry commentary suggests Gen2 capability is better than expected and equipment is readily available. The quality, form factors and application functionality have improved throughout the year. In addition, the market now has access to multiple sources of tag silicon. We also have seen a significant amount of pilot programs that have meaningfully improved the knowledge base.
  • Wal-Mart Poised to Expand Mandate Requirements in 2007. While slightly behind schedule, Wal-Mart appears ready to move forward. Wal-Mart is expected to have 1,000 stores RFID operational by the end of 1Q07. End users are expecting Wal-Mart to begin to add pressure at this time for suppliers to tag greater numbers of stock keeping units. Wal-Mart is expected to have as many as 2,000 stores RFID enabled by year-end 2007.
  • Good Momentum Beyond Retail Supply Chain Applications. We are hearing of positive momentum and ROIs in a number of applications, including display tagging, airline bag tagging and chemicals. Such notable ROIs should help to increase application testing in these areas. In addition, we expect strength seen during 2006 will continue in 2007 in the aviation, library, transportation and fashion markets. We also expect Europe will gain more traction in 2007 given improving technical solutions.
  • Pharma Tagging Receives a Setback. A federal judge issued an injunction that effectively continued the stay on the FDA's e-pedigree mandate as formed by the Prescription Drug Marketing Act (PDMA). While the injunction only maintains the status quo, we believe that it may slow the adoption of RFID by some pharmaceutical companies. We expect that the FDA will likely rewrite the legislation to better reflect the capabilities of RFID and to address adoption inequities that prompted the injunction. Recall that mandate was originally drafted in 1987 and had been stayed until the FDA elected this summer to make e-pedigrees mandatory as of January 1, 2007. While the mandate did not require RFID, the FDA did list RFID as the most desirable solution to meeting the mandate. Please see the Briefs section for additional information. (Also see Injunction May Slow Momentum for RFID E-Pedigrees.)

Download the full Baird RFID Monthly (pdf)
  • Previous Page
  • 1
  • Next Page

Login and post your comment!

Not a member?

Signup for an account now to access all of the features of RFIDJournal.com!

Case Studies Features Best Practices How-Tos
Live Events Virtual Events Webinars
Simply enter a question for our experts.
RFID Journal LIVE! RFID in Health Care LIVE! LatAm LIVE! Brasil LIVE! Europe RFID Connect Virtual Events RFID Journal Awards Webinars Presentations
© Copyright 2002-2016 RFID Journal LLC.
Powered By: Haycco