Wi-Fi and active radio frequency identification (RFID) technologies are locked in a long battle to capture the burgeoning market in health care asset tracking, according to a study by ABI Research. Today, less than five percent of North American health care facilities are equipped with asset-management systems.

Hospitals own lots of expensive equipment, from basic items such as wheelchairs to the most sophisticated medical machinery. At any given time, much of it is hard to find: either in use, or in storage. The result: over-inventory and under-utilization of assets. Both Wi-Fi and active RFID systems allow hospitals to know where their equipment is, nearly in real time.

"Wi-Fi location system vendors are focusing on healthcare," said industry analyst Sara Shah, "because most hospitals have Wi-Fi networks in place and many medical devices are Wi-Fi-equipped for patient monitoring. The value proposition is that they can keep their existing infrastructure and add new elements."

Wi-Fi location system vendors such as Aeroscout, Ekahau, and PanGo will also argue that their technology is standards-based and non-proprietary. On the other hand, RFID vendors such as RF Code and Radianse point to the wide application of RFID for asset tracking, and their longevity in the industry.

Wi-Fi is a viable solution for hospitals but most hospitals will need to install extra access points because their networks weren’t designed for this purpose. "The integration process can also be more difficult than many seem to believe," said Shah, "and requires extensive system configuration in order to determine accurate location."

About the market research report

The ABI Research upcoming report, "Active RFID and Wi-Fi in the RTLS Market -- Asset Management for Automotive, Defense, Healthcare, and Transportation Vertical Markets", analyzes the impact Wi-Fi vendors will have on the market, and explains the differences between active RFID and Wi-Fi systems, including both applications and vertical markets. Quantitative market analysis is also provided: shipments are broken down by frequency and technology; revenues are also reported for tags, readers, software, and services.

RTLS stands for Real-Time Location System.

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