The RFID industry will exceed 20 billion in 2012

“2011 is the first year for the RFID industry to enter into growth, and it is also the beginning of the rapid development of the RFID industry.” Ouyang Yu, Secretary-General of the China RFID Industry Alliance, introduced. As the most widely used and most mature business model of the Internet of Things concept, RFID will have a market size of more than 15.7 billion yuan next year, and will exceed 20 billion yuan by 2012.

It is reported that there are nearly 3,000 companies in the high-frequency wave industrial chain and most of them are profitable. UHF and microwave chips rely mainly on imports, but UHF will become an RFID industry because of its lower cost and wider application range. Therefore, this band is currently the focus of domestic RFID industry development.

The development of China's RFID industry needs to go through four phases: the incubation period before 2006, the beginning of 2006-2010, the period of high-speed growth from 2011-2015, and the maturity period after 2015.

At present, the major listed companies for electronic labels are Yuanwanggu, Dahua Intelligent, Zhongrui Sichuang and Huagong Technology. Ouyang Yu expects that with the development of the RFID industry, at least hundreds of listed companies can be created.

In addition, the development of the RFID industry can also drive the development of other industries, such as printing, logistics, and mobile value-added services, as well as innovative business models. Ouyang Yu said that after the RFID industry matures, the supply of chips and readers will become a stable income for both suppliers and investment, and enterprises that generate new business models through RFID technology will experience rapid growth.

It is worth noting that there is a mixed situation in the RFID industry. Many SMEs believe that entering RFID is relatively simple. In terms of ultra-high frequency industrial development, the chip design needs to invest millions of dollars, while the chip design and manufacture will require several hundred million yuan; the investment antenna design needs tens of millions of yuan, and the antenna manufacturing needs to invest billions of dollars. Investing in reader modules requires more investment. Ouyang Yu believes that with the development of the industry, enterprises in China's RFID industry chain will be greatly streamlined.