The cries of privacy advocates can be heard around the world as the booming radio-frequency identification technology sector marches ahead. Wal-Mart Stores Inc. has led the charge, having implemented RFID into its supply-chain management last year.
The process begins as products are shipped from suppliers, but there is strong debate, and controversy, as to where the technology ends.
More than 70 Texans gathered across the street from a Dallas-area Wal-Mart store earlier this month to protest the company’s use of RFID technology. The protest was sparked by Wal-Mart’s use of RFID tags on Hewlett-Packard Co. printer/scanners being sold in its stores. The Consumers Against Supermarket Privacy Invasion and Numbering group insists that placing RFID tags on individual consumer items, a practice known as item-level tagging, has been widely condemned by privacy experts since 2003 the group said. Wal-Mart’s use of RFID on these items disregards the recommendation of more than 40 of the world’s leading privacy and civil liberties organizations, which have called on retailers to abstain from the practice.
“Wal-Mart’s item-level RFID tagging initiative is dangerous and irresponsible,” said Katherine Albrecht, founder of CASPIAN and co-author of “Spychips: How Major Corporations and Government Plan to Track Your Every Move with RFID.”
“And it’s especially worrisome when you consider who Wal-Mart’s business partners are,” Albrecht said, pointing to patent documents and promotional communications that she and co-author Liz McIntyre uncovered when doing research for their book.
“We discovered that Wal-Mart’s partners-companies like NCR (Corp.), IBM (Corp.), Sensormatic, and Procter & Gamble (Co.)-have developed extensive plans to monitor and track people and exploit them commercially through RFID tags in the things they buy,” Albrecht said.
“These companies are working with Wal-Mart to place RFID tags into all consumer products. This will make objects-and the people wearing and carrying them-remotely trackable. We have rock-solid evidence that they are already devising ways to exploit that potential,” she added.
“This is not mere conjecture. These companies have laid out plans for a nightmarish world of total surveillance, and they’ve described these plans in their own words. If item-level RFID is not stopped now, Wal-Mart stores could soon become retail zoos, with customers as the closely watched exhibits,” warns Albrecht. “And other public spaces will soon follow.”
Wal-Mart has repeatedly denied that item-level RFID tagging poses a privacy risk.
“Unfortunately, it appears that Ms. Albrecht may not fully understand the technology and how Wal-Mart is using it,” Wal-Mart spokeswoman Christi Gallagher said in an e-mail to RCR Wireless News.
“Our tags are passive, and do not collect information about customers. Period. They only contain a unique serial number.
“We saw a very thoughtful approach to the new technology by our customers during out pilot last year, and during our implementation this year. They understand its applications and potential and seem ready to embrace it for companies that comply with EPCglobal guidelines and Wal-Mart’s own privacy policies.”
The Electronic Product Code guidelines were adopted Jan. 1, and are administered by EPCglobal Inc., a joint venture between GS1-formerly EAN International-and GS1 US-formerly the Uniform Code Council Inc.
The EPC states that consumers must be notified of the presence of RFID tags by an EPC logo on the product’s packaging. The warning must also include instructions on how to remove the tag.
In addition, the guidelines spell out that consumers should be educated about RFID technology’s capabilities and uses, and that the tags are not to contain, collect or store any personally identifiable information.
NCR said that it supports the EPC guidelines.
“NCR understands and respects the importance of individual privacy and protection of personal information,” said Kelly Kramer, spokesman for NCR.
“Our position is simple: RFID must be implemented responsibly. Consumers should be able to enjoy the benefits of RFID without misuse of personal information.”
Kramer added that the recently adopted industry standard for RFID tags, “Gen 2,” requires that all tags support a “kill command,” which allows retailers to deactivate the RFID tags at the point of purchase.
“Retailers will have a choice, of course, in using this functionality, but it does mean that they could gain the benefits of tagging and controlling merchandise within their stores, without imposing it on customers once the product leaves the store,” said Kramer.
“We believe retailers will be responsible and responsive in their implementations of RFID technology, and will adhere to the EPCglobal guidelines. Past experiences with numerous new shopping advancements or technologies have demonstrated this simple fact-if an idea drives customers away, retailers won’t employ it.”
Albrecht disagrees, saying, “There is no safe way to deploy RFID on an item level.”
Albrecht said CASPIAN plans to protest outside another Wal-Mart Nov. 5 in Bedford, N.H.
IBM and Sensormatic, a subsidiary of Tyco International Ltd., declined to comment.
