When businesses decide to implement RFID systems, one of the biggest choices they face is whether to go with open global RFID standards or proprietary (vendor-specific) RFID systems.
This decision affects not just the cost, but also the future scalability, interoperability, and vendor freedom of your RFID solution. In this blog, we’ll break down what each type of standard means, their pros and cons, and what businesses in India and globally should consider before choosing one.
What Are RFID Standards?
RFID standards are a set of rules, specifications, and communication protocols that define how RFID tags, readers, and software should work together. These standards are important because they ensure that devices from different manufacturers can communicate smoothly, making your RFID system more reliable, flexible, and easier to expand.
Without standards, RFID tags from one company might not work with a reader from another, leading to compatibility issues and extra costs.
Broadly, RFID standards are classified into two main types:
- Open Standards (like EPCglobal, ISO/IEC 18000).
- Proprietary Standards (developed and controlled by individual companies).
What Are Open RFID Standards?
Open RFID standards are publicly available, internationally accepted protocols that define how RFID systems should function. These standards are created and maintained by recognized global organisations like:
- ISO (International Organization for Standardization).
- EPCglobal, part of GS1, which develops global supply chain standards.
These standards are designed to ensure that RFID hardware and software from different vendors can work together without issues. Open standards promote flexibility, scalability, and compatibility across industries.
Common Open Standards in RFID :
- ISO/IEC 18000-6C – This is the most widely used UHF RFID standard (Ultra High Frequency). It is commonly used in supply chain management, retail stores, and library systems for tracking inventory and assets.
- ISO 14443 / ISO 15693 – These are standards for HF RFID systems (High Frequency). ISO 14443 is often used in contactless smart cards (e.g., ID cards, metro cards), while ISO 15693 is widely used in library RFID systems and access control.
- EPC Gen2 (Electronic Product Code Generation 2) – Developed by EPCglobal and adopted globally, this standard is widely used for retail, warehouse tracking, and logistics. It allows fast scanning of multiple items and works well in high volume environments.
Key Features of Open Standards :
- Interoperable Across Multiple Vendors : Tags, readers, and software from different companies can work together without any problem.
- Global Compatibility: These standards are accepted and used in many countries, making it easier to expand operations internationally.
- No Vendor Lock-In : Businesses are not tied to a single vendor. They can choose or change suppliers without redoing their entire system.
- Easier Integration : Open standards simplify the process of integrating RFID with other systems such as ERP, inventory software, or analytics tools.
By choosing open RFID standards, businesses gain long-term flexibility, wider support, and future-readiness, which are critical for today’s fast changing industries.
What Are Proprietary RFID Standards ?
Proprietary RFID standards are systems that are designed, developed, and controlled by a single vendor or manufacturer. These systems often use custom communication protocols, tag formats, or software interfaces that are unique to that company. As a result, they may not be compatible with products from other vendors.
Sometimes, vendors take a globally accepted open standard and modify or extend it to create a “custom” version. While this might offer some additional features, it often reduces compatibility and limits flexibility, especially when you try to mix equipment from different suppliers.
Key Features of Proprietary RFID Standards:
- Tightly Integrated Hardware and Software
The system is designed to work as a complete package from tags and readers to middleware and software. This can simplify setup but also locks you into that specific ecosystem. - Vendor Dependent Updates
All system updates, bug fixes, and upgrades are controlled by the original vendor. You must rely on them for any future support, even if you want to add new features or scale the system. - Locked Ecosystem
Proprietary systems often don’t allow you to mix and match hardware or software from other companies. This means you are tied to one vendor for replacements, maintenance, and expansion often leading to higher long-term costs.
While proprietary RFID systems may offer quick deployment and specific customisations, they can become limiting over time, especially if your business wants to scale, integrate with other systems, or change vendors.
Open vs Proprietary: A Quick Comparison
Feature | Open Standards | Proprietary Standards |
Interoperability | High | Low |
Vendor Flexibility | Can switch vendors | Vendor lock-in |
Initial Cost | Slightly higher sometimes | Can be cheaper short-term |
Scalability | Easy to expand | Expansion limited |
Innovation Speed | Global community-driven | Controlled by one vendor |
Customization | May need more integration | Often easier with in-house tools |
Support | Widespread documentation | Only from vendor |
Why This Matters for Businesses ?
1. Scalability
If you’re planning to grow or expand into new locations or markets, open standards give you the freedom to choose different vendors or upgrade without replacing everything.2. Vendor Independence
With open standards, you’re not stuck with one company for support or spare parts. You can switch providers if pricing, quality, or service is unsatisfactory.3. System Integration
If you want to integrate RFID with ERP, WMS, or IoT platforms, open standards make it easier due to widely available APIs and protocols.4. Long-Term Investment
While proprietary systems may seem cheaper at first, in the long run, they may cost more if you’re forced to stick with a single vendor for updates or replacements.When Is a Proprietary RFID System Still Useful ?
There are cases where proprietary solutions make sense:
- For very specific use cases like closed loop systems (e.g. in a small production facility)
- When you need deep customization or uncommon features
- When your entire RFID lifecycle is expected to be short-term or managed entirely in-house
Recommendations for Indian Businesses :
Go for open standards if you are setting up RFID for:
- Libraries
- Retail stores
- Logistics or warehouses
- Educational institutions
- Healthcare equipment tracking
Consider proprietary systems only if :
- You fully trust the vendor
- Your application is very niche or experimental
- You do not plan to scale or integrate further
Choosing between open and proprietary RFID standards is like choosing between freedom vs. control. Open standards offer flexibility, global support, and future-readiness, while proprietary systems might work in very narrow, customized setups.
For most businesses, especially in India’s growing digital infrastructure, open RFID standards are the smarter, safer choice.