U. S. government spending on RFID is expected to grow 120 percent over the next 5 years (by fiscal year 2009). That's according to market research firm INPUT.

The biggest impediment? Handling all that data generated from RFID tags.

When I first read the short news piece, it sounded like an opportunity for big IT vendors and consultants, to me. That's what INPUT believes, too, for the longer term:

"To date, the majority of RFID contracts have been awarded to smaller firms specializing in RFID and supply chain management. 'We expect this trend to continue in the near-term because adoption of RFID will continue to be at the program level versus agency-wide ... In the long-term, as RFID becomes more widely accepted, contract awards will begin to shift toward the larger IT firms that offer a full suite of professional services and will be able to walk federal agencies through the design, integration, and training needed to fully integrate RFID systems into the business processes of an agency.'"

Hat tip to George Nemeth from Brewed Fresh Daily.