High-Tech Forecast Predicts $5 Billion RFID Market

M.B.A. students at Purdue University's Krannert School of Management have issued their second yearly forecast on high-tech trends. Three stand-out trends emerged: a growth of broadband Internet access, an increased number of wireless networks and a large-scale implementation of radio-frequency (RFID) tags for retail applications, according to The Krannert Technology Forecast 2004-2006. The forecast, headed by Patrick Duparcq, Krannert marketing professor and director of the Center for E-business Education and Research, predicts more than 50% of the world Internet population will have broadband access by 2008. Additionally, 50% of all private Internet users will have a wireless home network by 2008. As for RFID, "The bottom line on RFID is that lower costs for the retailer and increased levels of customer service will win over some lingering concerns about privacy," says Duparcq. "We forecast that by 2008, unit costs of RFID will fall below five cents, and the total market will be $5 billion annually."