Savi Technology announced
at today's opening of the U.S. Maritime Security Expo in New York that they will jointly develop and market a disposable low-cost electronic bolt seal that automatically transmits alerts over radio frequencies when locking mechanisms on cargo containers are tampered with or violated.
The new electronic seal will combine EchoPoint, Savi's latest, sixth-generation, active radio frequency identification (RFID) technology, with OneSeal's design and manufacturing skills for high-security locks. The partners plan to introduce a widely affordable product by early next year that will dramatically improve the security and management of cargo containers moving throughout the global supply chain by ship, rail and truck. This electronic seal will be designed to be integrated with Savi's SmartChain real-time software platform and Transportation Security System software application. The plastic-coated metal seal, which will include an active smart tag with
an integrated circuit board and miniature RFID antennae, will be engineered for the security of all kinds of cargo containers moving an estimated $12.5 trillion of merchandise traded worldwide. The initial products also will target the approximately 200 million intermodal containers on oceangoing vessels that move 90 percent of world trade between seaports annually.
The combined OneSeal and Savi tag will augment Savi's existing product line of electronic seals - both disposable and reusable -- for nearly every type of cargo container, and which come in a variety of configurations at prices starting at $20 each. The advantage of the two companies' product for general security purposes is that it will leverage new configurations and manufacturing efficiencies to maintain high levels of functionality at relatively low costs for one-time usage, anticipated to be around $10 per electronic seal tag, depending on the quantity ordered.
The partnership agreement calls for Savi to supply the RFID components of the active RFID tag and for OneSeal to manufacture its casing and seal
device. The partnership also enables both parties to jointly market their combined product to existing and prospective customers as well as to sell it together or independently, with reciprocal royalty payments.
Licensing agreements also allow for the usage of both or either party to
leverage two of Savi's existing technologies: the Universal Data Appliance
Protocol (UDAP), a standard protocol that translates data from all types of
data capturing devices such as bar codes, automatic sensors, RFID tags, and
GPS systems into computer language understood by the Savi SmartChain
software platform; and, the EchoPoint platform and Series 600 products that
combine multiple frequencies and a unique Reader system for both spot-level and wide area monitoring. EchoPoint is designed to be licensable to companies like OneSeal
, which have leadership positions in specific markets, in order to help accelerate the development and adoption of more robust RFID solutions that are both affordable and tailored to meet the unique needs of a diverse set of industries.
The Smart and Secure Tradelanes (SST) initiative announced in July, is currently implementing RFID reader infrastructure and software provided by
Savi Technology in major sea ports worldwide for real-time visibility and security of ocean-going cargo containers. Smart and Secure Tradelanes is an industry-driven initiative that in addition to Savi includes the world's three largest port operators, Hutchison Port Holdings, P&O Port Holdings and PSA Corporation, SAIC, QUALCOMM (QCI.F)
, Parsons Brinkerhoff and Sandler Travis
Trade Advisory Services. The initial phase involves major tradelanes between the ports of Hong Kong and Singapore and Seattle and Tacoma. Other ports and participants will be announced in the coming weeks.