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Texas Instruments Advocates RFID Authentication for Pharmaceuticals and High-Value Goods

Sep 20, 2006

With counterfeiting estimated to be a $450 billion industry worldwide, the need to protect product and brand integrity is set to become the new value proposition for RFID, according to a new white paper from Texas Instruments Incorporated (TI) (NYSE: TXN).

RFID fights counterfeiting with an embedded electronic security marker, identifying a product or brand, that is automatically read as it passes through the supply chain either individually or as a group inside a shipping case. An electronic security marker is a unique data code that by itself or in conjunction with a network, can distinguish the product as genuine. This marker is unique to the individual product and cannot be easily altered, providing an enhanced level of security. Smart electronic security markers based on RFID technology make it easier to authenticate a product as genuine, compared with current anti-counterfeit methods that require human intervention.

Rick Raber, chief technologist for RFID integrator Northern Apex, said: “While there are a number of measures that can be taken to protect brand integrity in the supply chain for pharmaceuticals and other high-value items, RFID offers the most potential of any technology on the market today.”

TI's paper proposes a range of increasingly secure methods of using RFID to prevent different types of counterfeiting, using both an off-network and on-network approach to enable “anywhere, anytime” authentication of tag data and thus identifying the product as legitimate. The paper describes examples in the medical, pharmaceutical, electronics, clothing and beauty products markets, where RFID item-level tagging is being used to address illegitimate products and channels.

“RFID has always been about providing consumer convenience, protection and security in applications as diverse as automobiles, toll tags and retail payment,” said Joseph Pearson, business development manager, TI-RFid™ Systems, and author of the new white paper. “Now, RFID authentication of individual items can protect both consumers and companies alike against counterfeit goods.”

To download the white paper titled, “Increasing Security in the Supply Chain with Electronic Security Markers,” click on http://www.ti.com/rfid/shtml/form-wp-security20_sep_06.shtml .

About Texas Instruments

Texas Instruments is the world's largest integrated manufacturer of radio frequency identification (RFID) transponders and reader systems. Capitalizing on its competencies in high-volume semiconductor manufacturing and microelectronics packaging, TI is a visionary leader and at the forefront of establishing new markets and international standards for RFID applications. For more information, contact TI-RFid™ Systems at 1-800-962-7343 (North America) or +1 214-567-7343 (International), or visit the Web site at www.ti-rfid.com.

Texas Instruments Incorporated provides innovative DSP and analog technologies to meet our customers' real world signal processing requirements. In addition to Semiconductor, the company includes the Educational & Productivity Solutions business. TI is headquartered in Dallas , Texas , and has manufacturing, design or sales operations in more than 25 countries.

Texas Instruments is traded on the New York Stock Exchange under the symbol TXN. More information is located on the World Wide Web at www.ti.com.

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