Outlook for RFID Market

Filed in archive Stocks on February 25, 2005

Investment banking firm R.W. Baird held its RFID Conference recently and issued a very informative report.

Key take-aways:

• "The near-term outlook is cautious given the immaturity of the industry. However, we continue to see data points that suggest building momentum as industry members express enthusiasm for standardization, growing industry knowledge and increased executive-level commitment. We expect accelerating opportunity during the second half of 2005."


• "...expect a production ramp during 3Q05 with full Generation 2 product availability by 4Q05."


• "...partnerships appear to be increasing in importance."


• "...technology development has moved along nicely and, therefore, is less of a concern. The greater issue for them is the ability to evaluate and change their business processes...."


• "Key risks to the RFID market: lack of adequate implementation talent, change management, lack of commitment/participation from upstream/downstream supply chain members and IP issues potentially leading to litigation."

Perhaps the best part of this report is the detailed insights into individual companies such as Alien, philips and Unova.

Read the whole report. Compliments of Venture Chronicles by Jeff Nolan.