RFID – An opportunity for the European economy

Nowadays, RFID is vital for several economic sectors. The consumer goods and retail sectors in particular benefit from this technology. Primarily used in logistics and warehouse management, RFID ensures processes are carried out more efficiently and with a greater degree of transparency. But that is just the beginning of the technology’s potential. Experts expect worldwide market volumes for RFID to increase fivefold in the next ten years – from around 3.3 billion euros in 2008 to around 16.5 billion euros in 2018.

German IT companies are international leaders when it comes to RFID product development and services, which means they are perfectly positioned to benefit from the expected rise in demand. The product range stretches from small RFID tags for labeling goods to software and complete system solutions. Each new RFID application helps create new jobs in the IT industry dominated by medium-sized companies.

RFID offers manufactures new possibilities to create tailored products. Using the automated processes, the automotive industry, for example, can realize customer-specific solutions. That opens new business segments for companies, meaning the technology contributes to creating more jobs across the industry. Another advantage for manufactures: RFID allows companies more control over safety and quality.

The world of politics has also recognized the economic significance of RFID and introduced measures supporting the technology. The German government has invested 1.2 million euros in the further development of RFID. There is also a dialog platform planned for representatives from business, science and society. The aim is to coordinate projects promoting RFID and research projects. RFID is a hot topic across Europe. As part of the 7th EU research programme, information and communications technology was supported to the tune of around 9 billion euros, with many RFID projects linked to this funding.