Several recent studies and reports have concluded that, even for the large manufacturers who were instrumental in the development of EPC, the ROI for EPC implementation is primarily evident only for retailers or end users such as the Department of Defense. Despite this, manufacturers remain optimistic.

It is not that RFID technology has failed to provide significant benefits to manufacturers that have implemented it.  Many companies -- even some of those cited in the reports as having seen no significant benefit from EPC -- have identified and implemented opportunities for internal RFID applications that have provided a solid ROI.

The major complaint from upstream partners in the supply chain is that EPC data has been, to date, primarily a one-way flow: from manufacturers to customers.  While some data has been shared with upstream partners, reports are that it has been neither consistent nor comprehensive.

For manufacturers, achieving an ROI on EPC implementation requires that retailers and end users share their sales (or use) data.  A free and even automatic flow of data in both directions along the supply chain has always been the goal of those behind the development and deployment of EPC.

Part of the problem is that most companies have focused on implementing RFID technology and have put less effort into developing the information systems to exchange EPC data.  That, however, is beginning to change.

In a recent announcement, Wal-Mart and Target jointly announced that they will begin to share EPC data with 13 manufacturers who supply them with consumer packaged goods (CPG).

This move, while limited in its initial scope, marks a significant development according to a news release from ABI Research, which tracks and analyzes RFID business.  Erik Michielsen, ABI Research's director of RFID and ubiquitous networks observed that the data-sharing pilot reinforces the notion that there is a need to consolidate data across fewer platforms to ensure its reliability and interoperability in retail environments. "The joint announcement is a positive signal to the retail and consumer goods markets that leaders in both industries are focused on more cooperative, results-oriented solutions," Michielsen says.

The latest release of ABI Research's "RFID Research Service" details network infrastructure management opportunities, and profiles the stakeholders. The research analyzes the industry implications of the complex customer and partner relationships behind the seemingly simple public pricing announcements for Gen 2 inlays and labels.

More information on ABI's "RFID Research Service" is available from ABI.  [http://www.abiresearch.com/products/service/RFID_Service]