In 2015, the global radio frequency identification market was worth USD 10.53 billion. In 2015, the global radio frequency identification technology market was valued at USD 10.53 billion. This is due to increasing demands for the ability to locate, track, and monitor objects and people for safety, security, and resource optimization. The world is moving towards real-time location systems (RTLS), sensor network and the Internet of things (IoT), radio frequency ID devices will play an increasing role in capitalizing upon these technologies.
The three main components of the systems used in the industry include readers, tags, and middleware. The market's largest segment is the tags, which are the subject of prime development. Passive tags still hold the most market share, but active tags are gaining popularity as many new applications have emerged in recent years. Also, the tag size has been steadily decreasing.
Global RFID technology market by application, 2014-2025 (USD billion)
Automation, supply chain management and real-time intelligence are the key trends that will aid radio frequency technology adoption. They also help with asset tracking, payments, and asset tracking. Important factors in the industry's growth are the government's mandates to use RFID tags for tracking different industry products such as defense, livestock and data centers.
The future growth of the radio frequency identification market will be driven by technological advancements in UHF technology, convergence of RF devices with other communication technologies and growth in semi-passive tags and printed tags. Solution vendors are also focusing on hybrid systems, preprinted tags, and efficient memory use as the key opportunities.
There have been increased efforts to standardize products and frequency bands as the industry matures. RAIN RFID, EPC and ISO are just a few of the organizations that are expected to be crucial in this process. The key factors that will shape the future of organizations in the coming years are intellectual property rights, product licensing and innovations as well as a well-developed supply network.
The largest market share is held by tags, but the middleware segment will gain significant market share over the next few years. This is due to the growing demand for actionable intelligence across many industries. The emergence of on-device and real-time computing will also benefit the middleware segment. It is expected to be the link between technology's future and current applications (such IoT and wearables). The tags segment accounted for more than half of the total revenue share in 2015 and was the dominant.
The tag and reader vendors will enjoy a higher cost-to-volume ratio due to lower production costs over the value chain. It is expected that the reader's segment growth will be proportional to the tag segment, with handheld readers being the dominant type.
Radio frequency identification technology can be used in many industries to perform a variety of functions, including inventory tracking and control and retail item tagging. It is also used for supply chain management, animal tracking, access control and supply chain management. The industrial segment is second, while the retail sector is the biggest adopter of RFID tags. In North America, the retail sector is expected to grow at 12.6% CAGR over the next few years.
The government sector will see significant growth over the next few years. However, it is expected that the healthcare sector will also be a major user of the technology. Many issues like interference, privacy, security, accuracy, and security will be a problem as the RF-identification technology grows. There are extensive research and development activities underway in this industry.
The frequency range of RF technology is between 10 kHz and 100 MHz. It operates at the lower end electromagnetic spectrum. The operational frequencies of RFID tags and interrogators are divided into three groups: low frequency (125-134 KHz), high frequency (13.5 Mhz), and ultrahigh frequency (433, 860-960 MHz).
U.S. RFID market by frequency 2015 (%)
High-frequency tags still hold the largest revenue share. However, ultra-high frequency tags will see rapid market adoption due to growing demand for inventory management, pharmaceutical applications and wireless device configurations. The volume of ultra-high frequency Devices is now greater than that of high-frequency tag. However, vendors still make large revenues from them due to their high cost.
North America holds the largest market share worldwide. This can be attributed in part to its large-scale adoption of RFID tags in healthcare and retail. In recent years, the region has seen an increase in high-volume shipments, particularly in the U.S. which is the largest market for tags. Over the forecast period, North America is expected to see a healthy CAGR (14.0%)
Due to growing demand from emerging countries like China and India, the Asia Pacific region will grow the fastest during the forecast period. It is also a favorable region for growth due to the presence of many OEMs and manufacturers in the area. In terms of growth, the South American region will likely follow the Asia Pacific region over the next few years.
Many global vendors are present in the industry, including Honeywell International and Alien Technologies. Checkpoint Systems and RFID4U, Tibco, Mojix and Impinj are some other notable players.
Mergers and acquisitions are a key industry trend to inorganic growth. Many large companies adopt this strategy to get an edge over their competitors and strengthen their market position. Qualcomm, which was a major player in the smartphone market, bought NXP Semiconductors in 2016 to diversify its business into the semiconductors sector. This deal is one of the most significant in industry history.
This report predicts revenue growth at the global, regional and country level and analyzes industry trends for each sub-segment from 2014 through 2025. Grand View Research segmented radio frequency identification technology markets based on frequency, product, application, region, and country.
Product Outlook (Revenue USD Million; 2014-2025)
RFID tags
RFID Readers
Middleware
Frequency Outlook (Revenue USD Million; 2014-2025)
Low Frequency
High Frequency
Extremely high frequency
App Outlook (Revenue USD Million; 2014-2025)
Retail
Financial Services
Healthcare
Industrial
Government
Transport & Logistics
Other
Regional Outlook (Revenue USD Million; 2014-2025)
North America
The U.S.
Canada
Mexico
Europe
UK
Germany
Asia Pacific
China
Japan
India
South America
Brazil
Middle East & Africa (MEA)
Up Market Research published a new report titled “Radio Frequency Identification Technology Market research report which is segmented by Product (RFID Tags, RFID Readers, Middleware), By Players/Companies RFID Readers, RFID Tags, Product Outlook (Revenue USD Million; 2014 - 2025)RFID TagsRFID ReadersMiddleware, Middleware”. As per the study the market is expected to grow at a CAGR of XX% in the forecast period.
Report Attributes | Report Details |
Report Title | Radio Frequency Identification Technology Market Research Report |
By Product | RFID Tags, RFID Readers, Middleware |
By Companies | RFID Readers, RFID Tags, Product Outlook (Revenue USD Million; 2014 - 2025)RFID TagsRFID ReadersMiddleware, Middleware |
Regions Covered | North America, Europe, APAC, Latin America, MEA |
Base Year | 2020 |
Historical Year | 2018 to 2019 (Data from 2010 can be provided as per availability) |
Forecast Year | 2028 |
Number of Pages | 206 |
Number of Tables & Figures | 145 |
Customization Available | Yes, the report can be customized as per your need. |
The report covers comprehensive data on emerging trends, market drivers, growth opportunities, and restraints that can change the market dynamics of the industry. It provides an in-depth analysis of the market segments which include products, applications, and competitor analysis.
The market is segmented by Product (RFID Tags, RFID Readers, Middleware).
Radio Frequency Identification Technology Market research report delivers a close watch on leading competitors with strategic analysis, micro and macro market trend and scenarios, pricing analysis and a holistic overview of the market situations in the forecast period. It is a professional and a detailed report focusing on primary and secondary drivers, market share, leading segments and geographical analysis. Further, key players, major collaborations, merger & acquisitions along with trending innovation and business policies are reviewed in the report.
Key Benefits for Industry Participants & Stakeholders:
Based on region, the market is segmented into North America, Europe, Asia Pacific, Latin America and Middle East & Africa (MEA). North America region is further bifurcated into countries such as U.S., and Canada. The Europe region is further categorized into U.K., France, Germany, Italy, Spain, Russia, and Rest of Europe. Asia Pacific is further segmented into China, Japan, South Korea, India, Australia, South East Asia, and Rest of Asia Pacific. Latin America region is further segmented into Brazil, Mexico, and Rest of Latin America, and the MEA region is further divided into GCC, Turkey, South Africa, and Rest of MEA.
We have studied the Radio Frequency Identification Technology Market in 360 degrees via. both primary & secondary research methodologies. This helped us in building an understanding of the current market dynamics, supply-demand gap, pricing trends, product preferences, consumer patterns & so on. The findings were further validated through primary research with industry experts & opinion leaders across countries. The data is further compiled & validated through various market estimation & data validation methodologies. Further, we also have our in-house data forecasting model to predict market growth up to 2028.
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