More on Wal-Mart and RFIDs

By Deane Barker on November 10, 2003

Wal-Mart Plan Could Cost Suppliers Millions: More information on the RFID plan that Wal-Mart is forging ahead with.

“Wal-Mart said in June that it expected its top 100 suppliers to adopt the technology by the end of 2004 and the rest of its suppliers to do so in 2005. In late September, the Department of Defense said it would also require major suppliers to use such tags by the end of 2004. […]

While the costs to introduce the technology will vary widely, Kearney estimated that major retailers would have to invest $400,000 at each distribution center and $100,000 at each store to read and manage the data. A major chain might have to spend $35 million to $40 million to integrate the information into its reporting systems, which will be needed to gain much of the potential savings.”