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8-14 Industrial Communication Systems<br />

idly in stock or traveling. For the former case, the network of readers in a warehouse could be used to<br />

locate the misplaced item through its RFID tag. For a cargo on its way, a global trace-and-track could<br />

be conducted via GPRS (general public radio service) provided by most terrestrial mobile phone networks<br />

because the position of a truck could be extracted from the GPS (global positioning system) map.<br />

Similarly, the GPS reading of a vessel could be sent back through Inmarsat, a satellite <strong>communication</strong>s<br />

system operated by the International Mobile Satellite Organization. Other than the GPS system, with or<br />

without a local map on every truck, a real time global track-and-trace could be conducted through the<br />

existing <strong>communication</strong>s network with no auxiliary equipment.<br />

Simply put, the supplementary capital investment needed for deploying the RFID in the supply chain<br />

management is relatively small compared with the total cost spent in equipping every product with an<br />

RFID tag. Nevertheless, it is a worthwhile investment because the tangible gains will surpass the cost<br />

of a billion tags, not to mention the intangible ones. Hence, the industry of logistics management has<br />

reached a consensus in equipping every product with a RFID tag of a unique ID number when the price<br />

of a tag is right. Baring unforeseeable political and economical obstacles, this fantasy will become a<br />

reality in the near future.<br />

8.19 International Standard<br />

Unlike the bar code or the HF RFID, there is no common platform for a UHF RFID tag to roam seamlessly<br />

across a man-made political boundary. The outstanding issues to be solved are, however, more<br />

political than technical.<br />

In the past, the national standard where a technology was invented could easily be steamrollered as<br />

the de facto international standard as illustrated in bar code development. However, in the fast changing<br />

world of electronics, changes are not just found in technologies, they are also observed in places<br />

where the technologies were first developed. As a result, revolutionary changes are noted on the map of<br />

technology three decades after promulgation of the universal product codes (UPC). Today, there are at<br />

least three international standards for consumer electronics as exemplified by CDMA 2000, W-CDMA,<br />

and TD-SCDMA in the third generation mobile phone. Analogous confusions are also seen in highdefinition<br />

televisions.<br />

The RFID differs from the above examples. After all, the RFID tag is not a product, but an electronic<br />

component in every electronic or nonelectronic product. In competing with the bar code,<br />

the RFID tag must be made cost effectively. Ironically, the production of this tiny and inexpensive<br />

tag involves a super clean ambiance and an extremely stable environment for the growth of a large<br />

silicon–germanium ingot, a state-of-the-art foundry for the fabrication of a microelectronic disk,<br />

and sophisticated equipment for packaging a die into a tag. Furthermore, an effective engineering<br />

management team and cheap skilled labor are required for embedding a tag into every product for<br />

shipment. Very likely, these processes are carried out in different countries. As a result, no nation<br />

could claim a monopolistic control of all RFID technologies. Finally, but not the least, as the RFID<br />

has been destined to play a key role in the vertically integrated industry of supply chain management<br />

comprising raw material suppliers, component makers, product manufacturers, tariff controllers,<br />

shipping companies, warehouses, distributors, and retailers in different countries, an international<br />

standard is not desirable, but mandatory.<br />

8.20 Promiscuity<br />

Even though printing a bar code on paper is costless, the overall turnover of the related markets on<br />

hardware, software, computer network, and bar code management is more than a billion US dollars.<br />

Similarly, the expenditure consumed in the fabrication of RFID tags, the production of RFID equipment,<br />

the development of specific software, and the management of the relevant network represents only<br />

part of the total revenue generated by the RFID. Together with industries, due to the predictable and<br />

© <strong>2011</strong> by Taylor and Francis Group, LLC

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