RFID industry is expected to see healthy growth of 11% by 2010 on account of soaring demand for the RFID-enabled products and services in the market.
ABI Research is quite optimistic about the RFID industry’s growth prospects in the coming months, despite the recent recession, as reported by Rfidnews.
As per the reports of the firm, RFID market is expected to witness a growth of 11% by 2010 end. Further, on removing automotive immobilizer solutions, the projected growth rate of the market appears even better at 16%.
Another firm IDTechEx projected that the overall RFID market is estimated to surpass the total revenue of $5.6 Billion in 2009. A total of 2.35 Billion RFID tags are likely to be sold in the current year as compared to the sales of 1.97 Billion tags in 2008.
Item level tracking for apparel industry, baggage handling and contactless ticketing and payment applications are the major growth areas. Particularly, the contactless payment segment is anticipated to observe a robust growth in the US and the Europe. The aforementioned applications lead to higher demand among all the segments of RFID industry, ranging from hardware embedded with readers and tags to software as well as services.
In addition to this, asset management solutions, which are already witnessing increased usage in rental sectors such as libraries and laundry services, are likely to be more frequently adopted in other fields including finance, manufacturing and healthcare.
Despite the recent slowdown experienced by the RFID-enabled identification market on account of the completion of the big national ID project of China, the market will get charged up again in 2010 with many countries adopting electronic passports together with various other forms RFID-enabled IDs like electronic vehicle registration systems and border-crossing cards.
However, the gloomy automotive sector is the only bad patch in the otherwise optimistic outlook of the RFID industry.
According to a Research Analyst at RNCOS, “However several commercial RFID projects have been withheld in the absence of good return on investment, but the market for RFID products and services, as a whole, has been surging on back of government’s support for the RFID schemes in the areas including national ID, animal tagging and transportation. To enhance the growth further, proper RFID infrastructure should be ensured. Moreover, retailers and supply chain partners should also work together.”
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Global RFID Market Analysis till 2010
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