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US Data Center RFID Market

ID: MRFR/ICT/17185-HCR
100 Pages
Garvit Vyas
October 2025

US Data Center RFID Market Research Report: By Application (Asset Tracking, Inventory Management, Access Control, Environmental Monitoring), By End Use (Telecommunication, IT Services, Healthcare, Government), By Technology (Passive RFID, Active RFID, Semi-Passive RFID) and By Component (Tags, Readers, Antennas, Software) - Forecast to 2035

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US Data Center RFID Market Summary

As per MRFR analysis, the US Data Center RFID Market Size was estimated at 453.38 USD Million in 2024. The US is projected to grow from 503.07 USD Million in 2025 to 1423.3 USD Million by 2035., exhibiting a compound annual growth rate (CAGR) of 10.96% during the forecast period 2025 - 2035.

Key Market Trends & Highlights

The US data center-RFID market is experiencing robust growth driven by automation and sustainability initiatives.

  • The largest segment in the US data center-RFID market is the automation segment, reflecting a shift towards operational efficiency.
  • The fastest-growing segment is the integration with IoT technologies, indicating a trend towards smarter data management.
  • There is a notable focus on sustainability, as companies seek to reduce their environmental impact through efficient resource management.
  • Key market drivers include the growing demand for real-time asset tracking and rising labor costs, which compel organizations to adopt RFID solutions.

Market Size & Forecast

2024 Market Size 453.38 (USD Million)
2035 Market Size 1423.3 (USD Million)

Major Players

Zebra Technologies (US), Impinj (US), Alien Technology (US), SML Group (HK), Avery Dennison (US), NXP Semiconductors (NL), Honeywell (US), RFID Global Solution (US), GAO RFID (CA)

US Data Center RFID Market Trends

The data center-RFID market is currently experiencing a transformative phase. This transformation is driven by advancements in technology and the increasing need for efficient asset management.. Organizations are increasingly adopting RFID solutions to enhance operational efficiency, reduce costs, and improve inventory accuracy. This trend is particularly evident in sectors such as retail, healthcare, and logistics, where real-time tracking of assets is crucial. The integration of RFID technology into data centers allows for streamlined operations. This enables businesses to monitor equipment and inventory with greater precision.. Furthermore, the growing emphasis on automation and data analytics is likely to propel the demand for RFID systems, as companies seek to leverage data for informed decision-making. In addition, the regulatory landscape is evolving, with various government initiatives promoting the adoption of RFID technology. These initiatives aim to enhance supply chain transparency and security, which could further stimulate growth in the data center-rfid market. As organizations continue to recognize the value of RFID in optimizing their operations, the market is poised for sustained expansion. The convergence of technological advancements and regulatory support suggests a promising future for RFID solutions in data centers, potentially leading to increased investment and innovation in this sector.

Increased Adoption of Automation

The trend towards automation in data centers is significantly influencing the data center-rfid market. Organizations are increasingly integrating RFID technology to automate inventory management and asset tracking processes. This shift not only enhances operational efficiency but also reduces human error, leading to more accurate data collection and reporting.

Focus on Sustainability

Sustainability is becoming a key consideration in the data center-rfid market. Companies are seeking RFID solutions that not only improve efficiency but also contribute to environmental goals. This includes the use of eco-friendly materials in RFID tags and systems, as well as optimizing resource usage to minimize waste.

Enhanced Security Measures

As data security concerns grow, the data center-RFID market is experiencing a heightened focus on security features.. RFID technology is being utilized to improve access control and asset protection within data centers. Enhanced security measures are essential for safeguarding sensitive information and ensuring compliance with regulatory standards.

US Data Center RFID Market Drivers

Integration with IoT Technologies

The integration of RFID technology with Internet of Things (IoT) systems is emerging as a key driver for the data center-rfid market. This convergence allows for seamless communication between devices, enhancing data collection and analysis. In the US, the IoT market is expected to grow to $1.1 trillion by 2026, creating opportunities for RFID solutions to play a pivotal role in data centers. By leveraging IoT capabilities, organizations can optimize their operations, improve asset utilization, and enhance decision-making processes. The synergy between RFID and IoT technologies is likely to propel the data center-rfid market forward, as businesses seek to harness the power of interconnected devices for improved efficiency and productivity.

Regulatory Compliance and Standards

Regulatory compliance is becoming increasingly critical for organizations operating in the data center-rfid market. As data privacy and security regulations tighten, companies are compelled to adopt RFID solutions that ensure compliance with industry standards. In the US, the implementation of regulations such as the GDPR and CCPA has heightened the focus on data protection. This has led to a growing demand for RFID systems that can provide secure tracking and management of sensitive information. the data center-RFID market is expected to see increased investment in compliance-driven solutions., as organizations prioritize adherence to regulations while maintaining operational efficiency.

Enhanced Data Analytics Capabilities

The advancement of data analytics capabilities is driving growth in the data center-rfid market. Organizations are increasingly leveraging RFID technology to gather and analyze data related to asset utilization, inventory levels, and operational performance. This data-driven approach enables businesses to make informed decisions and optimize their operations. In the US, the market for data analytics is projected to reach $274 billion by 2026, indicating a strong demand for solutions that can provide actionable insights. The integration of RFID with advanced analytics tools is likely to enhance the value proposition of the data center-rfid market, as organizations seek to harness data for competitive advantage.

Growing Demand for Real-Time Asset Tracking

The data center-rfid market is experiencing a surge in demand for real-time asset tracking solutions. Organizations are increasingly recognizing the need for efficient inventory management and operational visibility. RFID technology enables precise tracking of assets, reducing the risk of loss and improving resource allocation. In the US, the market for RFID solutions is projected to reach approximately $10 billion by 2026, driven by the need for enhanced operational efficiency. This trend is particularly evident in data centers, where the ability to monitor equipment and inventory in real-time can lead to significant cost savings and improved service delivery. As businesses strive for greater efficiency, the data center-rfid market is likely to benefit from this growing demand for real-time tracking capabilities.

Rising Labor Costs and Workforce Challenges

the data center-RFID market is influenced by rising labor costs and challenges in workforce management.. As labor expenses continue to escalate, organizations are seeking automation solutions to reduce reliance on manual processes. RFID technology offers a means to streamline operations, minimize human error, and enhance productivity. In the US, labor costs have increased by approximately 3% annually, prompting businesses to explore innovative solutions. The adoption of RFID systems in data centers can lead to significant cost savings and improved operational efficiency, making it a compelling choice for organizations facing workforce challenges.

Market Segment Insights

By Application: Asset Tracking (Largest) vs. Environmental Monitoring (Fastest-Growing)

In the US data center-rfid market, the application segments show a distinct distribution of market share. Asset Tracking dominates, leveraging the need for efficient resource management and enhancing operational efficiency in data centers. Inventory Management follows closely, playing a vital role in ensuring accurate stock levels and minimizing losses caused by discrepancies. Access Control ensures security within facilities, while Environmental Monitoring, though currently smaller, is on the rise as more data centers recognize the importance of monitoring conditions to ensure optimal performance. The growth trends for the application segments highlight a robust demand for advanced technological solutions. Asset Tracking is propelled by the increasing complexity of data center operations and the need for real-time updates on asset location and usage. Environmental Monitoring is the fastest-growing segment, driven by rising awareness of the impacts of environmental factors on equipment performance and the push for sustainability. Organizations are increasingly investing in technologies that promote operational resilience while adhering to regulatory standards.

Asset Tracking (Dominant) vs. Environmental Monitoring (Emerging)

Asset Tracking remains the dominant application in the US data center-rfid market, providing essential solutions for managing the flow and location of critical assets within data centers. Its broad adoption stems from the need to improve asset utilization, minimize operational disruptions, and decrease costs associated with asset misplacement. Conversely, Environmental Monitoring is an emerging segment gaining traction due to the growing awareness of the importance of environmental conditions such as temperature and humidity in preserving equipment longevity and reliability. Companies are gradually integrating RFID-based monitoring systems to prevent equipment failures and improve energy efficiency, positioning Environmental Monitoring as a vital component of sustainable data center operations.

By End Use: IT Services (Largest) vs. Healthcare (Fastest-Growing)

In the US data center-rfid market, the market share distribution among various end use segments indicates that IT Services holds the largest share, benefiting from the increasing demand for efficient data handling and inventory management. Telecommunication follows closely, leveraging the need for enhanced tracking systems in network management. The Healthcare segment, while smaller, is rapidly gaining traction due to the rising importance of asset tracking for medical equipment and patient records compliance. Growth trends in this segment are driven by advancements in technology and the increasing reliance on data for operational efficiency. IT Services continue to expand as organizations prioritize digital transformation, while Healthcare is emerging as the fastest-growing segment due to regulatory requirements and innovations in patient care management. Government also plays a crucial role, as increased funding for technology adoption bolsters its position in the market.

Telecommunication: IT Services (Dominant) vs. Healthcare (Emerging)

The IT Services segment is characterized by its dominant market position, driven by a high demand for data management solutions across various industries. It encompasses a wide range of services, including cloud computing and data analytics, making it integral to modern business operations. Telecommunication, while strong, is marked as emerging, reflecting its essential role in enhancing network infrastructure and performance. Meanwhile, the Healthcare segment is distinguished by an increasing emphasis on regulatory compliance and patient management solutions, positioning it as not only essential but a rapidly evolving player in the US data center-rfid market. Overall, these segments highlight the diverse applications of RFID technology across critical industries.

By Technology: Passive RFID (Largest) vs. Active RFID (Fastest-Growing)

In the US data center-rfid market, Passive RFID technology holds the largest share, significantly surpassing its counterparts in terms of adoption and usage. This dominance can be attributed to its cost-effectiveness and efficiency in tracking inventory and assets. Active RFID, while not as widely implemented as Passive, is quickly gaining traction due to advancements in technology and increased demand for real-time tracking solutions. The growth trends in this segment reveal a substantial shift towards Active RFID systems, touted as the fastest-growing technology in the market. Factors driving this shift include the need for enhanced operational efficiency, the rising demand for automation in data centers, and the integration of IoT capabilities. As organizations seek to improve asset visibility and management, Active RFID solutions are expected to see accelerated adoption, leading to a more competitive landscape.

Technology: Passive RFID (Dominant) vs. Active RFID (Emerging)

Passive RFID technology continues to dominate the landscape of the US data center-rfid market, prized for its affordability and effectiveness in various applications. Its range extends from inventory management to asset tracking, making it a staple for businesses aiming to optimize their operational logistics. In contrast, Active RFID is emerging as a formidable competitor, leveraging battery-powered tags to provide real-time tracking capabilities that are increasingly demanded in fast-paced environments. This emerging segment caters to industries requiring immediate data access and enhanced tracking precision, setting the stage for a dynamic interplay between the established Passive RFID systems and the innovative approaches introduced by Active RFID.

By Component: Tags (Largest) vs. Readers (Fastest-Growing)

In the US data center-rfid market, the distribution of market share among the component segment values reveals that tags hold the largest share, dominating the landscape significantly due to their widespread application in asset tracking and inventory management. Readers follow as a notable segment, showing growth fueled by the increasing demand for real-time data processing and identification capabilities within data centers. Looking into growth trends, readers are emerging as the fastest-growing segment driven by innovations in RFID technology and the need for streamlined operations. As organizations continue to digitize their inventory and asset management systems, the demand for advanced readers is expected to rise sharply. Tags, while dominant, are also witnessing increased utilization but at a steadier growth rate compared to readers.

Tags (Dominant) vs. Readers (Emerging)

Tags are the dominant component in the market, characterized by their versatility and adaptability in various applications such as supply chain management, healthcare, and logistics. Their ability to enhance operational efficiency and accuracy positions them as indispensable tools for businesses seeking to optimize inventory tracking. Meanwhile, readers are considered an emerging segment, showcasing rapid growth attributed to their role in facilitating real-time data capture and increasing operational visibility. As the technology surrounding RFID evolves, readers are becoming more advanced, providing enhanced functionality and connectivity, which is vital for modern data centers looking to improve their operational capabilities.

Get more detailed insights about US Data Center RFID Market

Key Players and Competitive Insights

The data center-rfid market is currently characterized by a dynamic competitive landscape, driven by technological advancements and increasing demand for efficient asset management solutions. Key players such as Zebra Technologies (US), Impinj (US), and Honeywell (US) are at the forefront, each adopting distinct strategies to enhance their market positioning. Zebra Technologies (US) focuses on innovation through the development of advanced RFID solutions that integrate seamlessly with existing data center operations, thereby improving inventory accuracy and operational efficiency. Impinj (US), on the other hand, emphasizes partnerships with cloud service providers to expand its reach and enhance the capabilities of its RFID systems, which are increasingly vital for real-time data tracking. Honeywell (US) is leveraging its extensive experience in automation and data analytics to offer comprehensive RFID solutions that cater to the evolving needs of data centers, thus shaping a competitive environment that prioritizes technological integration and customer-centric solutions.

In terms of business tactics, companies are increasingly localizing manufacturing and optimizing supply chains to enhance responsiveness and reduce costs. The market structure appears moderately fragmented, with several players vying for market share while also collaborating through strategic partnerships. This collective influence of key players fosters a competitive atmosphere where innovation and operational efficiency are paramount, allowing companies to differentiate themselves in a crowded marketplace.

In October 2025, Zebra Technologies (US) announced a strategic partnership with a leading cloud service provider to enhance its RFID solutions, enabling real-time data analytics for data centers. This move is significant as it not only broadens Zebra's service offerings but also positions the company to capitalize on the growing trend of cloud-based asset management solutions. The integration of RFID technology with cloud services is likely to enhance operational efficiencies for clients, thereby reinforcing Zebra's competitive edge.

In September 2025, Impinj (US) launched a new line of RFID tags designed specifically for high-density data center environments. This product introduction is crucial as it addresses the unique challenges faced by data centers, such as space constraints and the need for rapid inventory turnover. By focusing on specialized solutions, Impinj is likely to strengthen its market position and appeal to a broader customer base seeking tailored RFID solutions.

In August 2025, Honeywell (US) unveiled an advanced RFID tracking system that incorporates AI-driven analytics to optimize asset management in data centers. This development is particularly noteworthy as it reflects the growing trend of integrating artificial intelligence with RFID technology, enabling more sophisticated data analysis and decision-making processes. Honeywell's focus on AI integration may provide it with a competitive advantage as data centers increasingly seek intelligent solutions to enhance operational efficiency.

As of November 2025, current competitive trends in the data center-rfid market are heavily influenced by digitalization, sustainability, and the integration of AI technologies. Strategic alliances among key players are shaping the landscape, fostering innovation and enhancing service offerings. Looking ahead, it appears that competitive differentiation will increasingly hinge on technological innovation and supply chain reliability rather than solely on price. Companies that prioritize these aspects are likely to thrive in an evolving market that demands agility and forward-thinking solutions.

Key Companies in the US Data Center RFID Market market include

Industry Developments

The US Data Center RFID Market has witnessed significant activity in recent months, with several key players making strategic moves. In August 2023, Impinj announced the launch of its new RAIN RFID solutions aimed at enhancing inventory visibility and operational efficiency within data centers. Meanwhile, Zebra Technologies continues to expand its offerings, focusing on RFID technology improvements to cater to the growing demand for asset tracking solutions. In terms of mergers and acquisitions, Motorola Solutions acquired Avigilon in July 2023, strengthening its position in the security and surveillance industry, correlating with RFID applications in data centers.

Avery Dennison has also made strides in the market by enhancing its RFID inlays and labels, positioning itself for growth in data center applications. The market valuation for key companies like Sierra Wireless and GAO RFID has seen upward trends due to increasing investments in automation and efficiency within data centers in the US, driven by the expanding need for data-driven operations. Current industry trends indicate a strong push towards integration of Internet of Things (IoT) technologies, further bolstering growth prospects in the sector.

Future Outlook

US Data Center RFID Market Future Outlook

the data center-RFID market is projected to grow at a CAGR of 10.96% from 2024 to 2035., driven by advancements in inventory management and operational efficiency.

New opportunities lie in:

  • Integration of AI-driven analytics for real-time asset tracking.
  • Development of customized RFID solutions for specific industry needs.
  • Expansion of cloud-based RFID management platforms for scalability.

By 2035, the market is expected to achieve substantial growth, driven by innovative technologies and strategic implementations.

Market Segmentation

US Data Center RFID Market End Use Outlook

  • Telecommunication
  • IT Services
  • Healthcare
  • Government

US Data Center RFID Market Component Outlook

  • Tags
  • Readers
  • Antennas
  • Software

US Data Center RFID Market Technology Outlook

  • Passive RFID
  • Active RFID
  • Semi-Passive RFID

US Data Center RFID Market Application Outlook

  • Asset Tracking
  • Inventory Management
  • Access Control
  • Environmental Monitoring

Report Scope

MARKET SIZE 2024 453.38(USD Million)
MARKET SIZE 2025 503.07(USD Million)
MARKET SIZE 2035 1423.3(USD Million)
COMPOUND ANNUAL GROWTH RATE (CAGR) 10.96% (2024 - 2035)
REPORT COVERAGE Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR 2024
Market Forecast Period 2025 - 2035
Historical Data 2019 - 2024
Market Forecast Units USD Million
Key Companies Profiled Zebra Technologies (US), Impinj (US), Alien Technology (US), SML Group (HK), Avery Dennison (US), NXP Semiconductors (NL), Honeywell (US), RFID Global Solution (US), GAO RFID (CA)
Segments Covered Application, End Use, Technology, Component
Key Market Opportunities Integration of advanced RFID technologies enhances asset tracking and operational efficiency in data centers.
Key Market Dynamics Growing demand for efficient asset tracking drives innovation in data center-RFID technology and competitive market dynamics.
Countries Covered US

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FAQs

What is the expected market size of the US Data Center RFID Market in 2024?

The US Data Center RFID Market is expected to be valued at 525.0 million USD in 2024.

What will be the projected market value in 2035?

By 2035, the market is projected to reach a value of 1663.97 million USD.

What is the expected compound annual growth rate (CAGR) for the US Data Center RFID Market from 2025 to 2035?

The expected CAGR for the market from 2025 to 2035 is 11.057%.

Which application segment is expected to have the highest market value and what are the projections for 2024 and 2035?

The Asset Tracking segment is expected to have the highest market value, reaching 210.0 million USD in 2024 and projected to grow to 700.0 million USD by 2035.

What are the estimated values for the Inventory Management application in 2024 and 2035?

The Inventory Management application is expected to be valued at 140.0 million USD in 2024 and projected to grow to 450.0 million USD by 2035.

What is the expected market size for Access Control in 2024 and its growth by 2035?

The Access Control application is expected to be worth 100.0 million USD in 2024, climbing to 320.0 million USD by 2035.

What are the 2024 and 2035 market values for Environmental Monitoring?

The Environmental Monitoring segment is projected to have a market value of 75.0 million USD in 2024 and is expected to grow to 193.97 million USD by 2035.

Who are the major players in the US Data Center RFID Market?

Key players in the market include Sierra Wireless, Impinj, Oracle, Motorola Solutions, and Zebra Technologies among others.

What is the dominant market share for the major players in this industry?

The dominant players collectively hold a significant share and are expected to drive growth through innovation and technology advancements.

How has the market been responding to trends and challenges in this sector?

The market has been adapting to emerging technologies and challenges while focusing on key applications including asset tracking and inventory management.

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