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Rising Adoption Of Cloud Computing Driving Market Growth Due To Enhanced Asset Management And Scalability: A Key Catalyst Accelerating Data Center Radio-Frequency Identification (RFID) Market Growth in 2025
Data Center Radio-Frequency Identification (RFID) Market
How Large Will the Data Center Radio-Frequency Identification (RFID) Market Size By 2025?
In the past few years, the market size for the data center radio-frequency identification (RFID) has expanded tremendously. The market exhibits a projected growth, increasing from its estimated worth of $1.78 billion in 2024 to an approximate value of $2.20 billion by 2025, showing off a promising compound annual growth rate (CAGR) of 23.9%. Factors such as the surge in demand for automated infrastructure management, the escalating requirement for continuous visibility of assets, the increasing application of RFID in regulatory and auditing processes, and growing acceptance of RFID for remote administration of data centers have significantly contributed to its historical growth.
How Big Is the Data Center Radio-Frequency Identification (RFID) Market Size Expected to Grow by 2029?
In the upcoming years, an exponential rise in the size of the data center radio-frequency identification (RFID) market is predicted. It is expected to expand to $5.13 billion by 2029, with a compound annual growth rate (CAGR) of 23.5%. This growth is attributable to the escalating deployment of hyperscale data centers, augmented demand for energy-efficient data center operations, risen adoption of edge computing infrastructure, and an increasing focus on regulatory compliance and data transparency. Future trends include advancements in the miniaturization of radio-frequency identification sensors, innovative developments in cloud-based RFID management platforms, the integration of RFID with digital twin technologies, progress in battery-free passive RFID tags, and the invention of multi-protocol RFID readers specifically designed for data centers.
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Which Key Market Drivers Powering Data Center Radio-Frequency Identification (RFID) Market Expansion and Growth?
The market growth is being propelled by the increasing acceptance of cloud computing. This is largely due to improved asset management and scalability.
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What Are the Key Trends Driving Data Center Radio-Frequency Identification (RFID) Market Growth?
Leading firms in the data center radio-frequency identification (RFID) market are concentrating on creating innovative technological solutions, such as RFID sensor devices. These advancements aim to improve real-time asset tracking, optimize operational processes, and bolster data security within vast IT infrastructures. RFID sensor devices are electronic tags that combine radio-frequency identification technology with sensors for wireless tracking, monitoring, and real-time data transmission about objects or environmental conditions. For example, Omni-ID Ltd., a United States-based RFID company, debuted a new series of passive RFID sensor devices in March 2022. These devices, designed to monitor temperature, moisture, and liquid volume, find use in sectors like data centers, industrial locations, and healthcare. The battery-free tags wirelessly send environmental data to RFID readers, providing a long-lasting and cost-friendly solution for large scale deployments and harsh environments. The product line, based on the Axzon Magnus RFID Sensor Chip, boasts five products, each with highly accurate temperature sensors and measurement ranges designed for different applications. These applications range from pharmaceutical and cold chain monitoring to agri-moisture management and equipment condition tracking.
What Are the Emerging Segments in the Data Center Radio-Frequency Identification (RFID) Market?
The data center radio-frequency identification (RFID) market covered in this report is segmented
1) By Component: Hardware, Software, Services
2) By Data Center Type: Enterprise Data Center, Mid-Sized Data Center, Large Data Center
3) By Technology: Passive Radio-Frequency Identification (RFID) Technologies, Active Radio-Frequency Identification (RFID) Technologies, Semi-Passive Radio-Frequency Identification (RFID) Technologies
4) By Application: Asset Tracking, Inventory Management, Environmental Monitoring, Security And Access Control, Staff And Personnel Tracking
5) By End-User Industry: Information Technology And Telecommunications, Healthcare, Retail, Manufacturing, Energy And Utilities
Subsegments:
1) By Hardware: Reader, Tag, Antenna
2) By Software: Asset Management Software, Inventory Tracking Software, Access Control Software
3) By Services: Installation Services, Maintenance Services, Consulting Services
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Who Are the Global Leaders in the Data Center Radio-Frequency Identification (RFID) Market?
Major companies operating 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.
Which are the Top Profitable Regional Markets for the Data Center Radio-Frequency Identification (RFID) Industry?
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.
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