RFID Surge In China
It’s predicted that China’s RFID market will continue to grow in value, doubling by approximately 2017. The Chinese government’s focus on the Internet of Things, embedding intelligence in everyday objects, will only help propel RFID’s growth.
“So far, government applications account for 22% of the volume and 34% of the revenue, but that is about to change quickly,” said Richard Jun Li, Lux Research Director and the lead author of the report titled, “Identifying Growth and Threat in China’s Emerging RFID Ecosystem.”
Analysts at Lux Research concluded that the consumer market is the strongest, mostly due to anti-counterfeiting RFID efforts. It’s predicted that the consumer market will grow at a rate of 38% until 2017 and industrial applications will grow at a 25% rate.
The focus is primarily on ultra-high frequency (UHF) RFID tags, which is estimated to become a $236 million market by 2017 due to the Chinese governments’ investments in developing homemade UHF chips.
Because of these investments, the amount of Chinese original equipment manufacturer (OEM) suppliers for RFID tags is also growing, creating a new industry.
The growth of RFID in Chinese markets over the next few years will certainly impact US implementations—the cheaper RFID tags become, the more companies will be willing to make the switch. Share your thoughts by commenting below, or on our Facebook or twitter pages.