PUBLISHER: The Business Research Company | PRODUCT CODE: 1852374
PUBLISHER: The Business Research Company | PRODUCT CODE: 1852374
Data center radio-frequency identification (RFID) is a technology that uses radio waves to automatically and wirelessly identify and track physical assets within a data center. The system comprises RFID tags attached to assets and RFID readers that communicate with these tags, delivering real-time identification and location data without manual intervention.
The key components of data center RFID include hardware, software, and services. Hardware consists of physical devices used in RFID systems across various data center types, including enterprise, mid-sized, and large facilities. These systems employ passive, active, and semi-passive RFID technologies. Applications span asset tracking, inventory management, environmental monitoring, security and access control, and personnel tracking. End users include sectors such as information technology and telecommunications, healthcare, retail, manufacturing, and energy and utilities.
Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.
The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the information technology sector, particularly in hardware manufacturing, data infrastructure, and software deployment. Higher duties on imported semiconductors, circuit boards, and networking equipment have raised production and operational costs for tech firms, cloud service providers, and data centers. Companies relying on globally sourced components for laptops, servers, and consumer electronics are facing longer lead times and increased pricing pressures. In parallel, tariffs on specialized software tools and retaliatory measures from key international markets have disrupted global IT supply chains and reduced overseas demand for U.S.-developed technologies. To navigate these challenges, the sector is accelerating investments in domestic chip fabrication, diversifying supplier bases, and adopting AI-driven automation to enhance operational resilience and cost efficiency.
The data center radio-frequency identification (RFID) market research report is one of a series of new reports from The Business Research Company that provides data center radio-frequency identification (RFID) market statistics, including data center radio-frequency identification (RFID) industry global market size, regional shares, competitors with a data center radio-frequency identification (RFID) market share, detailed data center radio-frequency identification (RFID) market segments, market trends and opportunities, and any further data you may need to thrive in the data center radio-frequency identification (RFID) industry. This data center radio-frequency identification (RFID) market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.
The data center radio-frequency identification (RFID) market size has grown exponentially in recent years. It will grow from $1.78 billion in 2024 to $2.20 billion in 2025 at a compound annual growth rate (CAGR) of 23.9%. The growth during the historic period can be attributed to rising demand for automated infrastructure monitoring, an increasing need for seamless asset visibility, growing use of radio-frequency identification (RFID) in compliance and audit processes, and the expanding adoption of RFID for remote data center management.
The data center radio-frequency identification (RFID) market size is expected to see exponential growth in the next few years. It will grow to $5.13 billion in 2029 at a compound annual growth rate (CAGR) of 23.5%. The growth during the forecast period is expected to result from the increasing deployment of hyperscale data centers, rising demand for energy-efficient operations, growing adoption of edge computing infrastructure, and greater emphasis on regulatory compliance and data transparency. Key trends in this period include advancements in RFID sensor miniaturization, innovation in cloud-based RFID management platforms, integration of RFID with digital twin technologies, development of battery-free passive RFID tags, and innovations in multi-protocol RFID readers for data centers.
The increasing adoption of cloud computing is expected to drive growth in the data center radio-frequency identification (RFID) market. Cloud computing delivers computing resources such as servers, storage, databases, networking, and software over the internet, allowing users to access scalable and cost-effective solutions without on-site infrastructure. Its adoption is rising as businesses can scale IT resources up or down according to demand, ensuring optimal performance and cost efficiency without significant upfront investment in physical infrastructure. Data center RFID supports cloud computing by enabling real-time tracking and management of IT assets, optimizing resource allocation, enhancing security, and ensuring efficient operation of large-scale cloud infrastructures. For example, according to Eurostat, 45.2% of EU enterprises purchased cloud computing services in December 2023, a 4.2% increase from 2021. The growing use of cloud computing is therefore fueling demand for data center RFID solutions.
Companies in the data center RFID market are developing innovative RFID sensor devices to improve asset tracking, environmental monitoring, and operational efficiency. RFID sensor devices combine radio-frequency identification technology with sensors to track, monitor, and transmit data about objects or environmental conditions in real time. In March 2022, Omni-ID Ltd., a US-based RFID provider, launched a range of passive RFID sensor devices capable of monitoring temperature, moisture, and liquid volume in sectors including data centers, industrial sites, and healthcare. These battery-free tags transmit data to RFID readers, offering a durable, cost-effective solution for high-volume deployments and challenging environments. The portfolio features five products based on the Axzon Magnus RFID Sensor Chip, with highly accurate temperature sensors suitable for applications such as cold chain monitoring, pharmaceutical management, and equipment condition tracking.
In February 2023, HID Global Corporation, a US-based provider of identity and physical security solutions, acquired GuardRFID Solutions Inc. to expand its RFID and real-time location system (RTLS) capabilities. The acquisition strengthens HID Global's presence in the healthcare sector by enhancing asset tracking, infant protection, and staff safety solutions. GuardRFID Solutions, based in Canada, specializes in active RFID technologies and RTLS solutions for healthcare, industrial, and data center applications.
Major players in the data center radio-frequency identification (RFID) market are Siemens AG, International Business Machines Corporation, HP Inc., Cisco Systems Inc., Honeywell International Inc., Avery Dennison Corporation, Omron Corporation, Zebra Technologies Corporation, Checkpoint Systems Inc., SATO Holdings Corporation, Nedap N.V., Impinj Inc., Identiv Inc., Invengo Information Technology Co. Ltd., Alien Technology Corporation, GAO RFID Inc., SimplyRFID Inc., Metalcraft Inc., InLogic Inc., IDESCO Oy, and Omni-ID Inc.
North America was the largest region in the data center radio-frequency identification (RFID) market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in data center radio-frequency identification (RFID) report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
The countries covered in the data center radio-frequency identification (RFID) market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
The data center radio-frequency identification (RFID) market consists of revenues earned by entities by providing services such as real-time rack utilization analysis, predictive maintenance alerts, cable and port mapping, remote infrastructure verification, energy consumption tracking, and compliance reporting automation. The market value includes the value of related goods sold by the service provider or included within the service offering. The data center radio-frequency identification market also includes sales of server tags, intelligent rack readers, temperature and humidity sensors, and handheld scanners. Values in this market are 'factory gate' values, that is, the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.
The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).
The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.
Data Center Radio-Frequency Identification (RFID) Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.
This report focuses on data center radio-frequency identification (rfid) market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.
Where is the largest and fastest growing market for data center radio-frequency identification (rfid) ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The data center radio-frequency identification (rfid) market global report from the Business Research Company answers all these questions and many more.
The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.
The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.