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Recognizing the Real Threat to Privacy


The mere mention of radio frequency identification (RFID) makes some people nervous. They fear that the application of RFID technology is yet another step toward our total loss of privacy.

But RFID has many practical applications. Delta Air Lines, for instance, has plans to use RFID tags on customers’ luggage. Since Delta loses about four out of every 1,000 bags it handles, RFID could save the company $100 million a year and reduce the number of passengers left empty handed at the baggage claim.

Wal-Mart, which rode technology to the top of the retail world, has plans to employ RFID technology, as well. No, greeters won’t be attaching tags to customers so the company can nose around in their personal business or tagging employees to monitor their work habits. The company will use the tags to track and manage inventory, which should significantly cut costs and let Wal-Mart price its goods even lower.

Aside from Wal-Mart’s rivals and the elitists who have taken a dislike to the company, who could oppose that? Overzealous privacy advocates and self-appointed, but inappropriately named, consumer activists, that’s who.

Their concern is that RFID tags will be used to spy on customers’ buying practices without their knowledge or permission. But it seems unlikely that Wal-Mart would be able to collect any information on a customer from an RFID tag once that customer leaves the store. Besides, if consumers were really concerned about companies snooping around their purchases, they would only use cash, not credit and debit cards, to pay for their items.

Cutting-edge technology is almost invariably met from some parts with suspicion and fear. And almost without exception the concerns turn out to be unfounded.

Rather than attacking new technologies that improve quality and efficiency and lower costs, we’d all be better off if privacy advocates spent more time challenging the real threat to our privacy – government intrusion.