Know and understand characteristics, uses, advantages and disadvantages of Radio Frequency Identification Device (RFID) including tracking stock, passports, automobiles, contactless payment

6 ICT Applications – Radio Frequency Identification (RFID)

What is RFID?

Radio Frequency Identification (RFID) is an automatic identification technology that uses electromagnetic fields to identify and track tags attached to objects. An RFID system consists of three main components: a tag (or transponder), a reader (or interrogator), and a back‑end database.

Characteristics of RFID

• Operates without line‑of‑sight – tags can be read through packaging, clothing, or other non‑metallic materials.
• Two main types of tags:

  • Passive tags – no internal power source; powered by the reader’s radio signal.
  • Active tags – contain a battery, allowing longer read ranges and higher data capacity.

• Read ranges vary from a few centimeters (high‑frequency) to several metres (ultra‑high‑frequency or microwave).
• Data can be read and written multiple times (read‑write tags) or only once (read‑only tags).
• Tags can store a unique identifier (UID) and, in some cases, additional information such as product details or sensor data.

Uses of RFID

1. Tracking stock and inventory – warehouses use RFID to locate items quickly, reduce manual counts, and improve stock accuracy.
2. Passports – e‑Passports embed a contactless RFID chip that stores personal data and a digital photograph, enabling fast border control checks.
3. Automobiles – RFID tags are used for electronic toll collection, vehicle identification in parking systems, and anti‑theft immobilisers.
4. Contactless payment – credit/debit cards and mobile wallets contain RFID/NFC chips that allow secure, tap‑to‑pay transactions.
5. Other examples: livestock identification, library book management, event ticketing, and asset tracking in hospitals.

Advantages of RFID

• Fast data capture – multiple tags can be read simultaneously (anti‑collision).
• Reduced labour – automated reading eliminates manual barcode scanning.
• Improved accuracy – fewer human errors in data entry.
• Enhanced security – tags can be encrypted and authenticated.
• Durability – tags are resistant to water, dust, and extreme temperatures.

Disadvantages of RFID

• Higher initial cost compared with barcodes (tags and readers).
• Potential interference from metal or liquids, requiring special tag designs.
• Privacy concerns – unauthorized readers could capture tag data.
• Complexity of integration with existing IT systems.
• Regulatory restrictions on radio frequencies in some regions.

Summary Table