Turnkey RFID solutions and service based on leasing model

T-Systems and Intel cooperate Europe-wide

Hanover, March 10, 2006

T-Systems and Intel are joining forces to open up the market for RFID (Radio Frequency Identification) solutions in Europe. T-Systems, a unit of Deutsche Telekom, and Intel, the worldwide largest semiconductor producer, are at the threshold of a new cooperation. Intel brings to the cooperation its expertise in connection with the processing of large amounts of data resulting from the automatic logging of radio signals as well as its consulting and engineering services. T-Systems is building up a platform to provide companies with any type of RFID service required on a lease basis.
After a test phase characterized by pilot projects, market researchers project an annual growth rate of 40 percent for the RFID services market. The contact-free automatic identification of goods delivers information which can be used by companies to monitor and control their business processes in real time along the entire value add chain. Analysts estimate the market in Europe for real time enterprise services (RES) in 2007 at approximately EUR 1.6 billion.
“Together with Intel, we are delivering the best of both worlds to the RFID market,” says Dr. Herbert Machill, Senior Executive Vice President, Industry Line Services at T-Systems. “This cooperation is an additional decisive step in our commitment to offer companies turnkey solutions for complex tasks on a pay-per-use basis. T-Systems provides the necessary infrastructure and services. Customers profit from innovative technologies, avoid the high initial investment costs and instead lease only the services that they really use.
Ian Furlong, Regional Manager Central Europe at Intel, underlines the strategic importance of the cooperation with T-Systems: “The days of individual RFID projects is over. The technology is ripe for the broad application in companies of the intelligent expansion of business process automation. T-Systems comes into play in projects requiring a high level of expertise in integration and service.
Companies in the trade, logistics and production industries are particularly interested in applying RFID technology to further increase the transparency and efficiency of their business processes. The transponders attached to merchandise or other mobile goods transmit radio signals to receivers that automatically forward this information to connected systems. This enables companies to continuously obtain information on the condition or location of an object or a production or supply chain, enabling them to react quickly.
Because the amount of data increases rapidly with the number of RFID transponders used, intelligent filters and rules according to company guidelines must be used to sort und aggregate the information. This task is performed by T-Systems’ RES platform, which formats all incoming data and feeds it to the appropriate enterprise applications. There, business critical information is available to aid in tuning processes. This provides the necessary transparency to clearly see inventory or delivery bottlenecks and makes possible the seamless tracking of goods.
Intel
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