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To: Johnny Canuck who wrote (40603)	1/12/2004 11:19:13 AM
From: Johnny Canuck	Read Replies (1) \| Respond to of 69370

Microsoft retail project taps into RFID Last modified: January 12, 2004, 7:51 AM PST By Matt Hines Staff Writer, CNET News.com Microsoft said Monday that it established a new project aimed at providing next-generation technology to retailers, including emerging wireless applications such as radio frequency identification. The announcement, made as part of the ongoing National Retail Federation (NRF) convention in New York, targets development of applications for nearly every aspect of the retail universe, from shopping to inventory management. Dubbed as the Smarter Retailing Initiative, the effort promises to deliver tools that allow retailers to interact with customers, improve operations management and incorporate emerging wireless technology. Microsoft said that software built under the effort would be based on its .Net Web services framework and would have an interface to existing products. Get Up to Speed on... Web services Get the latest headlines and company-specific news in our expanded GUTS section. The Redmond, Wash.-based software maker reported that it has already signed on a number of partners to contribute to the project, including consultants such as Accenture and Cap Gemini Ernst & Young, and technology vendors like Dell Computer, Hewlett-Packard and Intel. Microsoft also has recruited several retail chains to participate in the program, including 7-Eleven, Circuit City Stores and RadioShack. Perhaps the most intriguing element of the new effort is a Microsoft partnership with Accenture, which has already produced several RFID-based technologies designed for use by retailers. RFID chips carry descriptive information, most frequently regarding products to which they're attached, that can be read by a number of different devices, including handheld computers or sensors located in a warehouse. Retailers are expected to use RFID for everything from tracking inventory to communicating information on special deals to consumers via wireless devices. Although the company offered few concrete examples of the sort of technologies it plans to develop for retailers, it pointed to use of its Windows XP Embedded operating system software as a prime area for development. Microsoft said that some of its retail partners are already using the software to create shopping tools that use wireless devices such as cell phones and personal digital assistants (PDAs) to deliver information to customers. Other applications being developed under the program include software for use with point-of-sale terminals and analytic tools based on Microsoft's SQL Server designed specifically for the retail sector. The software maker reported that RadioShack has already adopted 8,000 point-of-sale systems based on Windows XP throughout its stores and that it built a mobile store management system with another partner, Wipro Technologies. "Microsoft's Smarter Retailing Initiative flows from our belief that there are many opportunities for innovation in the retail industry today, but they primarily lie on the edges, where retailers interact with consumers and manage their supply chains," Brian Scott, general manager for the Microsoft's retail and hospitality business unit, said in a statement. Microsoft highlighted the initiative as part of a $6 billion effort aimed at sharpening its focus on particular vertical industries. Other software makers revealed new retail-focused efforts at the NRF conference, including Microsoft rival Sun Microsystems, which detailed electronic product code tracking software for supply chain management built in conjunction with one of its developer partners, Aldata.