Consumer Reports investigates RFID

Radio Frequency Identification Tags (RFID) are replacing the humble bar code in warehouses, stores and even libraries around the country.

An RFID tag, about the size of grain of rice, broadcasts a low-powered signal is picked up by special receivers. RFID enables tighter inventory control and a level of product tracking that was impossible before.

A three-month investigation by Consumer Reports Magazine finds that even though RFID use is rising rapidly, consumers know little about the technology. And Senior Editor Andrea Rock says there are serious privacy implications for consumers as the things they buy, places they go and books they read are tracked by RFID.