According to ABI research aerospace industry, especially baggage systems & ground staff, will become a major sector for growth of RFID in future.
Aerospace industry, especially baggage systems & ground staff, will become a major sector for growth of RFID in future, as per ABI research findings published by Silicon on October 6, 2006. The study reveals that US$ 11.8 Million was invested in RFID technology for baggage handling in 2006. The figure is estimated to rise at around US$ 27.5 Million.
Major question troubling aerospace industry is whether investments are worth in RFID technology considering high costs of RFID tags. Asian & European airlines are expected to be first to use RFID baggage tracking systems. Air France, Virgin Atlantic and Delta are presently using this technology.
A separate report "RFID Industry Analysis 2006" published by RNCOS estimates the value of RFID sector by 2016 to be about US$ 26.2 Billion. Investments are expected to skyrocket to US$ 1.3 Billion by 2008, an increase from US$ 91.5 Million in 2003. The reduction in the price of tags and readers will further push the sales up.
"There has been a customary rise in the RFID market over the past few years, which is set to grow consistently in the near future, following the rising product awareness among end users", it says.
Lost baggage presently costs losses to travel industry worth US$ 1 Billion every year, which can drop if RFID is used. RFID tags are already being used in sectors involving hardwearing technology and therefore, has led analysts predict a bright future ahead of RFID in baggage tracking sector.
Related Market Research Reports:
Global RFID Market Analysis till 2010
European RFID Industry Outlook (2007-2010)
RFID Outlook China
