RFID stands for Radio-Frequency IDentification. This technology uses radio waves to transfer information between an RFID tag on an item such as a mobile phone, and an RFID reader.

There are two parts to each RFID system. The RFID reader is the first part of the system. The reader is an antenna and transceiver. The reader sends out a signal over radio frequency waves to activate an RFID tag.

The RFID tag is the second part of the RFID system. The tag is placed on the item that is being read. The tag is very similar to a bar code.

But unlike a bar code, there doesn't need to be a line of sight between the RFID tag and the reader. When the RFID tag is triggered via the radio waves emitted by the reader, it sends data back to the reader.

Many companies today use RFID technology to keep track of their inventory, but RFID can also be used by consumers to streamline their daily life. An example includes EZ-Pass systems that automatically charge an account every time you go through a toll booth. Another example that is starting to be introduced is RFID credit cards. These RFID tags are embedded in the card and store all your billing information so that you just have to wave the card over the credit card machine instead of fishing around in your wallet or purse for the card and worrying about the strip becoming demagnetized.
Click Here to see an example of an RFID Tag