RFID: Getting under my skin

by Dan Blacharski

August 23, 2006 —

This week's highlighted research:

Forrester Research. "Anyone who says RFID is 'completely secure' is selling something."

Manufacturing Insights. "RFID investment: Cost of compliance or strategic business benefit?"

In-Stat. "RFID in China--from human ID to product ID."

RFID technology is big and getting bigger, and has brought major changes in manufacturing, retail and shipping. It's efficient and accurate, but there are still a couple of looming questions that the mainstream research skims over, and those are privacy and security. On the privacy front, RFID enthusiasts who insist on pushing the envelope way past the point where it should be pushed, see the technology as a wonderful way to keep track of people, even to the point of inserting RFID-based tracking chips into individuals. Using it to gain supply chain efficiencies is all well and good. It's also being used to track nuclear materials, which sounds like a good idea, seeing as how there are bomb-throwing terrorists out there who would like to steal as much of it as they can. There are experimental automated tollbooths that use it, and a whole host of other very useful applications out there.

RFID could, however, be used to track the movements of people, by implanting them in our clothing, or even under our skin. And I'm sure there are plenty "sacrifice liberty for security" nuts who would advocate this. Already, VeriChip, the controversial manufacturer of subcutaneous human tracking devices, last month advocated the chips as a way to keep track of immigrants after President Bush called for high-tech solutions for clamping down on immigration. But it's only a short leap before we all have them, and even former Secretary of Health and Human Services Tommy Thompson (a member of the VeriChip board) advocates all Americans getting "chipped." Now I'll admit, I allowed one to be placed in our Boston Terrier, Pladook. Dogs do get lost sometimes, and if that happens, the local dog pound can use it to immediately discover his identity and give me a call. And I'm pretty sure Pladook doesn't see it as an invasion of his privacy. But, I don't want one under my skin, nor do I want one under the skin of my immigrant wife.

On the security end, Forrester's wonderfully cynically-titled report, "Anyone who says RFID is 'completely secure' is selling something", points out that RFID is not yet mature enough to protect corporate secrets. The weak security protocols used can compromise a company's infrastructure, and many RFID systems have some inherent security risks. Forrester's report also notes the inevitability of RFID being used to change business processes, but those who adopt these technologies must also anticipate any potential threats that could arise as a result. The report advocates that a company, before implementing an RFID system, consider the need for confidentiality and security to the RFID data. If it's not really a big trade secret for an intruder to find out how many components you have in your manufacturing pipeline, then go for it. But use caution if you're planning on deploying RFID to something that requires a high degree of security (like nuclear materials).

Manufacturing Insights takes a more practical look at RFID as a supply chain solution and what the real business value is. According to the research, manufacturers need to focus more on the business value of RFID, rather than cost of compliance. The research also notes that the current state of affairs in RFID is one of a growing sense of urgency, particularly in consumer good and retail, which has forced many manufacturers to bring in immature technology. And In-Stat's report shows that RFID is big business in China, with over 100 million tags shipped in 2005. One of the biggest RFID projects in the world is Communist China's resident ID card project, which includes RFID tags, and is overseen by the Ministry of Public Security.

ITworld.com