Originally Published EMDM
November 2003
INDUSTRY NEWS
Low-Cost RFID Technology Eyes Opportunities in the Medical Device Sector |
| About the size of a small fingernail, RFID chips can be easily moulded or sealed into medical devices of almost any size or shape. |
The relatively high cost of radio-frequency identification tags (RFID) has been a barrier to mass commercialization of the technology.
Innovision Research & Technology plc (Wokingham, Berks, UK) intends to change that. The company has developed a low-cost chip that can be easily embedded in most products and customized for a range of applications. While it is still considerably more expensive than bar coding, it is also vastly more functional. The use of RFID to prevent medical errors is cited as one of the primary applications.
At trade shows, the company uses a luer connector with an embedded read-and-write RFID tag to demonstrate the potential of its DataLabel technology. “If you connect the luer to the wrong device, you will get an error message,” says business development manager James Urie. The company’s RFID reader “can also tell the user which device it should be connected with, where and when the product was manufactured, and even on which patient it has been used. If there is an adverse incident,” adds Urie, “the entire history of its use can be sent to the OEM or a regulatory body.”
DataLabel tags are about the size of a small fingernail and measure less than 1 mm thick. They can be embedded within devices of almost any shape or size, and can store all manner of digitized data. The chips can be moulded or hermetically sealed within devices, and they are designed to last the lifetime of the host product.
As unit cost continues to decline, RFID tags will be seen as a more functional alternative to bar codes in an array of applications; they have, in fact, begun to make inroads into the consumer market. The UK supermarket chain Tesco has been using the technology on a test basis with a handful of products.
Razor-blade giant Gillette was toying with the idea of embedding them in individual packages of its products. But both of these initiatives sparked criticism from consumer groups. The technology’s powerful tracking capabilities were unsettling to some, who feared yet one more breach of privacy. The outcry was sufficient to cause Gillette to shelve its plans. (The company has announced that it will continue to use RFID chips for inventory control in its warehouses.) For its part, Tesco stresses that it is only conducting a pilot study and will not make a decision on whether or not to proceed until the end of the year, at the earliest. On the healthcare front, however, the obvious safety benefits of RFID technology may trump such concerns.
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| A luer connector with an embedded RFID chip transmits an error message if the user attempts to connect it to an incompatible device. |
“This technology offers enormous scope for preventing mistakes and minimizing costs [in the medical arena],” notes Innovision R&T managing director Marc Borrett. “Not only could it help to prevent the reuse of single-use devices, but traceability of devices would become feasible. Devices used in particular procedures or with specific patients [could] be tracked and identified,” says Borrett.
Innovision R&T has adopted a business model that, it hopes, will ensure rapid technology transfer into marketable products. “We do the custom development work on a cost basis and also allow our customers to purchase the technology at cost from our appointed manufacturers,” explains Urie. “Our profits come from royalty payments.” This arrangement provides Innovision R&T with an incentive to reduce costs, he adds. “We don’t make a profit until the product is successfully on the market. And buying directly from the manufacturer ensures that our customers get the best possible price.”
Founded in 1994 and publicly traded since 2001, Innovision R&T’s approach seems to be paying off. As of 2001, the firm has generated more than US$500 million in revenue for its customers.
For more information, contact Innovision Research & Technology plc, Ash Court, 23 Rose St.,
Wokingham, Berks RG40 1XS, UK; phone: +44 118 9366353; fax: +44 118 9791500; e-mail:
rfid@innovision-group.com; Internet:
www.innovision-group.com.
Norbert Sparrow
Copyright ©2003 European Medical Device Manufacturer
