Starting with the pharmaceutical industry, TAGSYS will offer a $125,000 RFID technology bundle that will easily upgrade to version 2 of the EPCglobal HF standard, slated to take effect in early 2008.
RFID hardware and software provider TAGSYS this week announced a new pilot program and fixed reader under the umbrella of its "Path to V2" program, which aims to smooth the transition to a forthcoming EPCglobal standard for high-frequency (HF) RFID technology.
Version 2 (V2) of the high-frequency standard would provide for better accuracy and speed in writing and reading information to and from RFID tags. Although ratification of V2 is not expected until January 2008, much of its technical infrastructure has already been established, and TAGSYS is one of the vendors in the EPCglobal Hardware Action Group, which is helping to define the specification.
The standard is based on the same logical layer as the ultra-high frequency Gen 2 standard, said John Jordan, president of worldwide operations for TAGSYS. But that synergy matters less to potential RFID users than the results they can get from tags and readers, he said. "Clients don't care about HF or UHF; they just want to have the product work."
With current standards, Jordan told Managing Automation, "you have some factors on performance that just aren't there, where the clients need it, to really extend the deployments." The next-generation HF standard should alleviate most of those obstacles, he said. "V2 is the first product we've seen that really breaks the barrier."
TAGSYS has targeted the pharmaceutical industry for its initial V2-related offerings. With this week's RFID/Track & Trace Health Care Industry Adoption Summit as its backdrop, TAGSYS unveiled a new pilot program offering that, for $125,000, will outfit drugmakers with the technology needed to serialize their products, including 50,000 item-level HF RFID tags, 1,000 UHF tags for case-level applications, IBM's WebSphere Premises Server software for managing data capture, and RFID readers to be installed along the manufacturing line. IBM will also provide implementation services for installation and configuration of the system.
The technology bundle includes the L400 long-range RFID reader, which TAGSYS revealed this week and will begin shipping at the end of this month. The fixed reader can operate in stand-alone mode or as part of a network. In stand-alone mode, the L400 is able to self-diagnose a range of functional problems and report them to factory or IT personnel. When connected to a network, the reader's unique name, description, and location allow for remote device management. The L400 also features a keypad and an LCD screen that reports metrics such as power consumption, temperature of power amplifier, and read and write counts.
Through a firmware update, manufacturers will be able to upgrade the L400 to HF V2 when the time comes. "The big thing about V2 is that it's so fast, existing reader infrastructure can't really deliver the performance you need," Jordan noted. TAGSYS partnered with NXP to create tag emulators and firmware that will facilitate the jump to V2 when it rolls out.
The $125,000 price tag covers the average cost of converting the RFID tags into labels that can be affixed to the pharmaceutical products. Manufacturers must cover the additional cost if their conversion process falls outside the normal price point.
And what of the gamble of marketing products when the V2 standard has not yet been ratified? TAGSYS doesn't see that as a significant concern. "They voted on the initial stages and they know it passed," Jordan said. "The rest is formalities around IP."
The pilot program represents TAGSYS' attempt to gain a foothold in companies that may soon be forced to serialize all of their products. Beginning in 2009, for instance, California will require an electronic pedigree for all pharmaceutical drugs sold in the state. Manufacturers will need to comply with that regulation by affixing either serialized bar codes or RFID tags to all of their products.
By contrast, a program to tag 50,000 bottles will be a small fraction of what is required for most drugmakers in the new era of e-pedigrees, but TAGSYS portrays the pilot offering as a stepping-stone. "If you like [the pilot's results], you can make that your entry into our Six Sigma program; you can then fully scale everything you want."
Other technology vendors have begun to address the looming need for integration of RFID and ERP systems as the mandates take effect.
In another corner of the RFID world this week, industry consortium and advocacy group AIM Global christened a new outreach program that it hopes will overcome the public's wariness of RFID technology.
In a statement, the advocacy group pointed to a need to "dramatically increase positive public perception of radio frequency identification (RFID) technologies" among consumers and lawmakers.
The campaign will take place in the United States and will include "extensive media relations outreach and contributed article and op-ed placements," according to an AIM Global statement.
AIM Global will work with Abelson Group, Inc., a New York-based marketing and communications firm, as well as members of AIM Global's education and public policy committee, including Alien Technology, Impinj, Motorola, Savi, Sirit, and UPM Raflatac.