Robert W. Baird analyst Reik Read offers some interesting insights in this month's RFID Monthly publication.
Read says industry contacts suggest that "meaningful business opportunities" have begun to emerge, yet they're not ready to admit the industry's heading toward "hockey stick" sales.
The analyst firm remains optimistic based on order and sales activity, and goes as far as forecasting that Gen 2 related hardware revenue will double this year, compared with last, and see an increase between 75% and 100% in 2008. We believe the 2008 hardware market will reach between $125 million and $150 million.
Another observation worth mentioning--products are shrinking in size, yet applications continue to increase in power. New smaller tag and reader designs from Alien, Impinj and NXP Semiconductors allow companies to create smarter strategies, and integrated silicon lets companies design lower-cost readers. Read expect a second iteration of the 1H08 reader will let companies design better mobile modules and products, as he expects to see several new products in the next three to six months.
From EPCglobal US, Mike Meranda plans to step down as president to enter back into the private business sector. And, a high frequency version of the Gen 2 standard should be ratified by January. EPCglobal will submit the standard to ISO as 18000-3,
mode 3. If ratified, industry observers expect
equipment by mid-to-late 2008.
You can read the report here.
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