VDC Research: RFID, Barcode, Retail Automation & Self-Service Market Blog

Embedded Sensing & M2M Enable Advanced Efficient Agriculture with RFID

The VDC team received a very interesting briefing from RFMicron (Austin, Texas) on an IC component aimed at solving a problem seen with passive RFID tags. In addition to increasing the performance of the RFID tag, the new chip (called Magnus) actually allows the tag to perform additional functions and, as a result, we believe that this product has many potential M2M applications.

Here is a bit of background. Passive RFID tags do not contain any power source of their own. When stimulated by the correct RF signal, they chirp back data that is stored on or measured by the tag at that moment. Because a passive RFID tag is essentially using the received energy to transmit the return signal the tuning between the tag electronics and antenna have to be near perfect. One thing that can interfere with a passive RFID tag’s performance is moisture. The new Magnus chip enables the passive RFID tag to adjust for moisture to maintain optimal operation. That, by itself, is significant because it allows objects that are in sub-optimal conditions (e.g. wet) to be monitored wirelessly at greater distances. As a result M2M applications could be deployed over extremely long periods of time without needing any power source on the individual assets. What made this new component really interesting is that moisture data from the component could be transmitted by the tag along with the stored ID number. In our opinion, passive RFID tags with this component could be a key piece in an M2M optimized agricultural operation. Here is how it would work:

VDC’s View of M2M Enabled Agriculture using Passive RFID Moisture Detection

1.)    During planting process, the farm equipment inserts the RFID tags at given intervals along with the seeds. The embedded computer on the farm equipment logs and transmits the tag’s ID number and GPS location data to the cloud.

2.)    As farm equipment pass over the fields, the RFID reader scans the sensors and the embedded computer collects the data. This allows for the creation of a economical irrigation plan. VDC pictures this as being similar to ink-jet printers in precision as opposed to pumping water and spraying for fixed intervals.

3.)    Data from the moisture sensors can be retained in the cloud to confirm that optimal irrigation was maintained.

4.)    At harvest time, data on crop yields and quality are collected and sent to the cloud.

5.)    The cloud stored data can be used for many purposes that benefit several agricultural stakeholders including:

• The farmer can optimize future crops from the lessons learned from the current one.
• The aggregated data on crop yields can be sold to the investment community for analysis and pricing of agriculture-based financial instruments.
• In the event of a crop failure, the insurance industry can verify that the farmer had followed reasonable practices before making the payout.

6.)    At the end of the process, the farmer tills over the field without having to worry about recovering sensors or their connectivity infrastructure.

What happens to the RFID tags after that?  We have to assume that most of the tags would survive for several years but they would no longer have precise location or soil depth. Although, it is possible that the tags could be recovered for future use, the cost of doing so would likely exceed their cost of approximately $1 per unit. In future growing seasons, any data received from RFID tags deployed with earlier crops would be ignored.

The connected-farm is only one of many possible M2M applications for passive RFID sensor tags. For example, the moisture detecting RFID tags could be installed inside tanks at regular intervals to detect liquid levels.  Other physical properties such as pressure or temperature could be included to increase functionality. The M2M possibilities are endless.

The AutoID & Data Capture team would like to thank David Laing from VDC's Embedded Hardware team for authoring this blog post.

How does Legislation Impact Barcode Technology Adoption?

The Indian government issued a three-phase barcode labeling mandate back in 2010-11 for manufacturers and exporters from the pharmaceuticals industry. This was a direct result of counterfeit or spurious drugs seized by African regulatory authorities that had “Made in India” labels pasted on them but were found to have originated in another country. The need to enforce regulations to ensure source traceability and prevent unwarranted liability became a critical requirement for the government. While they have already enforced barcodes on tertiary and secondary level packaging, several media outlets reported that the upcoming deadline to affix barcodes on primary level packaging has been extended by a year – deferred from July 1, 2013 to the same date in 2014. This packaging includes the container (tube, jar, bottle or can) which comes in direct contact with the pharmaceutical product. Despite the additional financial and operational burden vendors and their partners have to incur, this is a significant step in curbing and potentially eliminating the spread of counterfeit drugs by increasing visibility into the supply chain. Yes, the cut-off date for doing so has been extended. But, as India’s pharmaceutical exports (currently pegged at over Rs. 80,000 crores or USD 10 Billion) outpace and outgrow domestic sales this will help local manufacturers actively counter allegations of selling inferior products.

We have discussed the horsemeat scandal in our blogs and the growing potential for stricter traceability mandates in the food industry. And there is always news about changes to labeling requirements in the heavily regulated pharmaceuticals industry across the globe. How does this impact enterprise investment in and adoption of barcoding solutions? Our conversations with leading printer and scanner vendors indicate that while regulations and legislation – from government bodies, industry groups or even lead users – are critical to establishing awareness and elevating interest levels from enterprises in the capabilities of barcode technologies, impact on vendors’ revenue streams from this opportunity is spread out over time. As industries and their participants work to enhance their visibility into the commercial value chain, VDC expects to witness a heightened market need for track-and-trace enabling solutions.

Cognex watching Microscan’s products like a “Hawk”; files IP infringement claim

Cognex recently filed a lawsuit against Microscan Systems alleging patent infringement by their Mobile Hawk product used to read Direct Part Mark (DPM) codes. With Microscan contesting this claim and calling it “without merit”, we can expect to see a long drawn-out battle. Cognex has been working towards aggressively expanding its lower cost barcode scanning product line to keep up with rising demand and capitalize on the tremendous growth opportunity in relatively under-penetrated regions and verticals. While the company’s intellectual property-related battles have historically been limited to Machine Vision technology, this development suggests an increasing focus on protecting its IP in the high-growth barcode scanner market, especially around camera-based imaging technology. Interestingly, Microscan is also one of Cognex’s leading competitors in the Machine Vision marketplace, particularly in the pharmaceuticals and clinical device manufacturing sector.

Even though the barcode scanner market has become increasingly commoditized, IP is still a relevant and meaningful asset that vendors hold. We firmly believe manufacturers and patent holders have a right to defend it. Will low cost solutions providers now be in the line-of-sight of those with IP?