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A technology incorporating a transponder unit that is attached to a variety of goods, equipment, and documents in order to provide rapid identification, inventory management, and/or numerous security features. The transponder, also known as a tag, is basically a tiny microchip connected to an antenna, which can be mounted to a variety of items, such as a pallet of goods in a warehouse. A device called a reader communicates with the tag via radio waves. Depending on the type of tag that is used, the reader can receive detailed information or it can receive data as simple as an identification number or a price. Radio Frequency Identification, or RFID, is similar to barcode systems in which data, such as a price, is accessed when the barcode is read; however, the barcode must come in direct contact with an optical scanner/reader and the Radio Frequency Identification tag is capable of transmitting data to the reader via radio waves and therefore, it does not have to be in direct physical contact with the reader. The radio signals can transmit through many nonmetallic substances such as rain, fog, snow, dirt and grime, and painted surfaces. This gives RFID tags a distinct advantage over optically read items, such as barcodes, which would be useless under similar conditions. Radio Frequency Identification is used for countless purposes including smart labels and security labels printed with digital or conventional equipment, product and inventory management, theft control, placement on pharmaceuticals to prevent counterfeited drugs from entering the legal supply chain, increased efficiency in automated toll road payments, and monitoring the locations of items as varied as luggage, library books, and livestock.
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