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Radio-frequency identification (RFID) is the use of an object (typically referred to as an RFID tag) applied to or incorporated into a product, animal, or person for the purpose of identification and tracking using radio waves. Some tags can be read from several meters away and beyond the line of sight of the reader.

Radio-frequency identification comprises interrogators (also known as readers), and tags (also known as labels).

Most RFID tags contain at least two parts. One is an integrated circuit for storing and processing information, modulating and demodulating a radio-frequency (RF) signal, and other specialized functions. The second is an antenna for receiving and transmitting the signal.

There are generally three types of RFID tags: active RFID tags, which contain a battery and can transmit signals autonomously, passive RFID tags, which have no battery and require an external source to provoke signal transmission, and battery assisted passive (BAP) which require an external source to wake up but have significant higher forward link capability providing great read range.

The EPCGlobal standard (uhfc1g2_1_1_0-standard-20071017.pdf from EPCGlobal) defines four classes of tags as class 1, class 2, class 3 and class 4. Each successive class has higher functionality than the previous one and is also backward compatible. Apart from these four classes, sometimes class 5 is also referred by users in the industry which are nothing but RFID readers.

RFID has many applications, for example, it is used in enterprise supply chain management to improve the efficiency of inventory tracking and management.

History and technology background

In 1945 Léon Theremin invented an espionage tool for the Soviet Union which retransmitted incident radio waves with audio information. Sound waves vibrated a diaphragm which slightly altered the shape of the resonator, which modulated the reflected radio frequency. Even though this device was a covert listening device, not an identification tag, it is considered to be a predecessor of RFID technology, because it was likewise passive, being energized and activated by electromagnetic waves from an outside source.

Similar technology, such as the IFF transponder invented in the United Kingdom in 1915, was routinely used by the allies in World War II to identify aircraft as friend or foe. Transponders are still used by most powered aircraft to this day. Another early work exploring RFID is the landmark 1948 paper by Harry Stockman, titled "Communication by Means of Reflected Power" (Proceedings of the IRE, pp 1196–1204, October 1948). Stockman predicted that "... considerable research and development work has to be done before the remaining basic problems in reflected-power communication are solved, and before the field of useful applications is explored."

Mario Cardullo's U.S. Patent 3,713,148 in 1973 was the first true ancestor of modern RFID; a passive radio transponder with memory. The initial device was passive, powered by the interrogating signal, and was demonstrated in 1971 to the New York Port Authority and other potential users and consisted of a transponder with 16 bit memory for use as a toll device. The basic Cardullo patent covers the use of RF, sound and light as transmission media. The original business plan presented to investors in 1969 showed uses in transportation (automotive vehicle identification, automatic toll system, electronic license plate, electronic manifest, vehicle routing, vehicle performance monitoring), banking (electronic check book, electronic credit card), security (personnel identification, automatic gates, surveillance) and medical (identification, patient history).

A very early demonstration of reflected power (modulated backscatter) RFID tags, both passive and semi-passive, was performed by Steven Depp, Alfred Koelle, and Robert Freyman at the Los Alamos National Laboratory in 1973. The portable system operated at 915 MHz and used 12-bit tags. This technique is used by the majority of today's UHFID and microwave RFID tags.

The first patent to be associated with the abbreviation RFID was granted to Charles Walton in 1983 U.S. Patent 4,384,288.

The largest deployment of active RFID is the US Department of Defense use of Savi active tags on every one of its more than a million shipping containers that travel outside of the continental United States (CONUS). The largest passive RFID deployment is the Defense Logistics Agency (DLA) deployment across 72 facilities implemented by ODIN who also performed the global roll-out for Airbus consisting of 13 projects across the globe.

Miniaturization

RFIDs are easy to conceal or incorporate in other items. For example, in 2009 researchers at Bristol University successfully glued RFID microtransponders to live ants in order to study their behavior. This trend towards increasingly miniaturized RFIDs is likely to continue as technology advances. However, the ability to read at distance is limited by the inverse-square law.

Hitachi holds the record for the smallest RFID chip, at 0.05mm x 0.05mm. The Mu chip tags are 64 times smaller than the new RFID tags. Manufacture is enabled by using the Silicon-on-Insulator (SOI) process. These "dust" sized chips can store 38-digit numbers using 128-bit Read Only Memory (ROM). A major challenge is the attachment of the antennas, thus limiting read range to only millimeters.

Potential alternatives to the radio frequencies (0.125–0.1342, 0.140–0.1485, 13.56, and 840–960 MHz) used are seen in optical RFID (or OPID) at 333 THz (900 nm), 380 THz (788 nm), 750 THz (400 nm). The awkward antennas of RFID can be replaced with photovoltaic components and IR-LEDs on the ICs.

Current uses

RFID is becoming increasingly prevalent as the price of the technology decreases. In January 2003 Gillette announced that it ordered 500 million tags from Alien Technology. Gillette VP Dick Cantwell, now an employee of Cisco says the company paid "well under ten cents" for each tag. The Japanese HIBIKI initiative aims to reduce the price to 5 Yen (4 eurocents). And in January 2009 Envego announced a 5.9 cent tag.

Payment by mobile phones

Credit card companies are now looking for payment solutions for adding contactless payment cards to any mobile phone. A carrier solution that satisfied the industry's needs is now available, developed in partnership with CPI Card Group and First Data Corporation. Less than 3mm thick, the sub-card will withstand its environment for 2 years, protected from the elements and secured in the carrier once inserted .

Since summer 2009, two credit card companies have been working with Dallas, Texas, based DeviceFidelity to develop specialized microSD cards. When inserted into a mobile phone, the microSD card can be both a passive tag and an RFID reader. After inserting the microSD, a user's phone can be linked to bank accounts and used in mobile payment.

Dairy Queen in conjunction with Vivotech has also begun using RFIDs on mobile phones as part of their new loyalty and rewards program. Patrons can ask to receive an RFID tag to place on their phone. After activation, the phone can receive promotions and coupons, which can be read by ViVOtech's specialized NFC devices.

Similarly, 7-Eleven has been working alongside MasterCard to promote a new touch-free payment system. Those joining the trial are given a complimentary Nokia 3220 cell phone - after activation, it can be used as an RFID-capable MasterCard credit card at any of 7-Eleven's worldwide chains.

Nokia's 2008 device, the 6212, has RFID capabilities also. Credit card information can be stored, and bank accounts can be directly accessed using the enabled handset. The phone, if used as a vector for mobile payment, has added security in that users would be required to enter a passcode or PIN before payment is authorized.

Transportation payments

Governments use RFID applications for traffic management, while automotive companies use various RFID tracking solutions for product management. Many of these solutions may work together in the future, though privacy regulations prevent many initiatives from moving forward at the same pace that technology allows.

Economical alternative to car-ownership: Car-sharing

The Zipcar car-sharing service uses RFID cards for locking and unlocking cars and for member identification.

Season parking tickets

Following a successful pilot, Housing & Development Board (HDB) Singapore called two tenders in 2006 to implement RFID to replace the paper Season Parking Ticket (SPT). The successful tenderers have distributed RFID tags to SPT holders since March 2007. In VietNam, Futech have auto checking ticket system apply for many building in this country.

Toll roads

• RFID is being used for E - Tolling in Motorways, Pakistan, Implemented by NADRA.
• In Dubai,UAE, RFID is being used for E - Tolling - SALIK in Motorways,Implemented by RTA.
• In Turkey, RFID has been used in the motorways and bridges as a payment system since ; it is also used in electronic bus tickets in Istanbul.
• RFID is used in Malaysi