Outokumpu Technology, UPM and Finnish Industry Investment to create a new joint venture for RFID antenna production
Outokumpu Technology, UPM and Finnish Industry Investment to create a new joint venture for RFID antenna production
UPM, Outokumpu Technology and Finnish Industry Investment have established a joint venture company to produce high quality RFID (radio frequency identification) antennas as well as to develop their production technologies. The joint venture is the world's first producer to specialize in RFID antennas aiming at global markets.
Outokumpu Technology's shareholding in the new company is 28 per cent. Finnish Industry Development Ltd has also 28 per cent, UPM 38 per cent while the management holds the remaining 6 per cent share in the company. Antenna production is scheduled to start in the autumn of 2005.
UPM has been developing RFID tag production technology with the objective to create a globally successful business. As a part of that endeavor UPM Rafsec contacted Outokumpu in 2002 in order to find a good solution for the cost-effective mass production of the metallic antennas needed in RFID tags.
Based on its deep knowledge in metals and materials technology, Outokumpu Technology's Research Center in Pori, Finland, responded to the challenge and came up with an innovative solution and novel technology. It enables cost-effective mass production of the metallic RFID antennas to the fast growing and emerging RFID technology based item identification markets. The new antennas have been successfully tested and their performance verified together with UPM Rafsec. The technology is now ready for commercialization.
Entering the RFID antenna business reflects Outokumpu Technology's strategy to seek growth from new technology areas, such as materials technology applications, where its metals related competences fit well in.
For additional information please contact:
Mr Tapani Järvinen, President & CEO Dr Kari Knuutila, President
Outokumpu Technology Outokumpu Technology, Research Center
Tel. +358 9 421 2135 Tel. +358 2 626 5000
Outokumpu Technology, part of the international stainless steel and technology company Outokumpu, is a worldwide technology leader in minerals and metals processing, providing innovative tailored solutions for a wide variety of customer needs in iron and steel, aluminium and non-ferrous metals industries. www.outokumputechnology.com
UPM is one of the world's leading producers of printing papers and the clear market leader in magazine papers. The company has production plants in 16 countries and its main market areas are Europe and North America. UPM's shares are listed on the Helsinki and New York stock exchanges. www.upm-kymmene.com.
Finnish Industry Investment is a government-owned investment company. It engages in equity capital investment and invests in venture capital funds, private equity funds and directly in selected target companies. Finnish Industry Investment Ltd is administered by the Ministry of Trade and Industry. www.industryinvestment.com
RFID technology is a next-generation bar code, allowing companies to handle inventory more efficiently, prevent goods from being lost, stolen or otherwise misdirected and keep supplies flowing to where they're needed most. Any item with an RFID tag, a special radio frequency-emitting microchip, can wirelessly broadcast information about itself, such as its location and its origin.
RFID key components:
· An RFID tag consists of a microchip attached to an antenna. RFID tags are designed for each application, including read range and the environment in which the tag will be read.
· An RFID reader, usually connected to a personal computer, serves the same purpose as a barcode scanner, but does not need a line of sight contact to the tag.
· An RFID reader antenna, connected to the RFID reader, activates the RFID tag and enables data transfer by wireless pulses.