Oracle, Intel to Co-Develop Radio Frequency Products

Oracle Corp. and Intel Corp. said Tuesday that they would work together to develop products based on radio frequency identification, technology that uses chips emitting a radio signal to track inventory.

Development teams from Oracle, the world’s No. 3 software maker, and Intel, the world’s largest computer chip maker, will adapt existing company products to create RFID products, Redwood City, Calif.-based Oracle said.

Oracle began promoting its RFID efforts in March 2004 to tap into market demand after Wal-Mart Stores Inc., the world’s largest retailer, and the Defense Department said they would require suppliers to include RFID tags in products. Oracle makes database and other software that is being used to collect and analyze information from RFID chips.

Oracle’s RFID customers include the NASA Dryden Flight Research Center in Edwards, Calif., which is using software, along with temperature and motion sensors, to monitor hazardous materials, Oracle said. McCarran International Airport in Las Vegas uses Oracle’s database program and RFID tags to track baggage.

Santa Clara, Calif.-based Intel sees RFID as a way to drive sales of devices as diverse as hand-held computers and servers.

On Tuesday, shares of Oracle rose 9 cents to $12.49 and Intel gained 10 cents to $23.22. Both are listed on Nasdaq.