I.D. Systems

History

I.D. Systems was founded in 1993 by Kenneth S. Ehrman. [1] The company introduced the use of radio frequency identification (RFID) technology for industrial asset tracking and management. In 1995, I.D. Systems was awarded a $6.6 million contract from U.S. Postal Service (USPS) to develop and implement a tracking system for test letters and packages. I.D. Systems went public on the NASDAQ in 1999.

In 2005, I.D. Systems received a three-year contract from the U.S. Postal Service to implement its Wireless Asset Net, a wireless industrial vehicle management system, at 460 USPS facilities nationwide. According to Jeffrey Jagid, the company's former chairman and CEO, this project is a key milestone both in the company's relationship with USPS and in mass commercialization of the company's wireless technology.

In 2009, I.D. Systems acquired didBOX Ltd., a privately held, United Kingdom-based manufacturer and marketer of driver identification systems for forklift fleets. The acquisition made didBOX a wholly owned subsidiary of I.D. Systems, broadened I.D. Systems' product line, and expanded sales of the company's vehicle management solutions in the European market. In 2010, I.D. Systems acquired GE Asset Intelligence, LLC, a business unit of the General Electric Company, which provides trailer and container tracking solutions for manufacturers, retailers, shippers, and freight transportation companies. The acquisition expanded the scope of I.D. Systems' product line and complemented its portfolio of wireless asset management patents.

Solutions

I.D. Systems' solutions consist of hardware, software, maintenance, support, and consulting services. The solutions can be divided into three categories: industrial vehicle management, transportation asset management, and rental fleet management.

Powered Industrial Trucks

I.D. Systems' industrial vehicle management systems are used by manufacturers, distributors, retailers, government entities, and other organizations with powered industrial trucks (forklifts, tow tractors, pallet jacks, etc.) to monitor and evaluate fleet operations, track vehicle movement, and manage vehicle operators. The system consists of four elements: a wireless computer installed on the vehicle, wireless communication nodes placed within the facility, system software hosted either on site or in a remote data center, and user software configured in either a client-server or thin-client (Internet browser-based) architecture. Data may be transmitted by any combination of Wi-Fi, cellular or UHF wireless technologies.

The company offers three systems for industrial vehicle management. didBox™ is a non-wireless system for driver identification. PowerBox™ and PowerFleet® are wireless systems with functions ranging from operator access control, electronic safety checklists, and impact management to location tracking, battery management, maintenance scheduling, and task dispatching.

The company's customers in the industrial vehicle management market include Ford Motor Company, Nestlé North America, Procter & Gamble, Toyota, and Walmart (which accounted for 15% of the company's 2012 revenues).

Airport Vehicles

I.D. Systems provides a variation of its industrial vehicle management system designed specifically for ground support equipment (pushback tractors, baggage tugs, cargo loaders, catering vans, fuel trucks, etc.) and other vehicles that operate in and around airports.

This system, branded AvRamp®, was developed with funding from the U.S. Transportation Security Administration (TSA) and tested by the TSA at Newark Liberty International Airport and the JAXPORT seaport in Jacksonville, Florida. According to a 2005 TSA report, "The Newark Liberty International Airport (EWR) Vehicle Tracking Demonstration—Wireless Fleet Management System," I.D. Systems' technology accurately located vehicles and enhanced the security of aircraft fuel trucks and other maintenance vehicles.

The company's customers in the airport vehicle management market include Envoy Air and American Airlines.

Transportation Asset Management

I.D. Systems' Asset Intelligence subsidiary provides asset management solutions for the freight transportation industry under the VeriWise™ brand. The VeriWise™ product line includes a range of telematics solutions for tracking the location and monitoring the condition and status of dry van trailers, refrigerated trailers ("reefers"), flatbeds, chassis, containers, and railcars.

For managing fleets of dry van trailers and containers, the company offers a product called VeriWise™ Track and Trace™ for location tracking, a cargo sensor to monitor load status, and a motion sensor to detect trailer movement. The company also offers a temperature sensor to monitor the condition of reefers and an impact sensor to track collisions of railcars.

To manage these transportation assets, VeriWise™ products leverage satellite and cellular communications and web-based data processing technologies. Users access the information about their assets through a remotely hosted website called VeriWise™ Internet Portal (VIP), which generates reports and displays tabular data and a Google map interface.

The company's customers in the transportation asset management market include FAB Express, Forward Air, Freymiller, National Retail Systems, and Royal Freight.

Rental Vehicle Management

In 2011, I.D. Systems and Avis Budget Group signed an exclusive agreement to deploy I.D. Systems' wireless vehicle management technology on more than 25,000 Avis Budget vehicles, enabling Avis customers to self-manage their rentals by computer or smartphone. The technology can also automate and expedite the rental and return process, track vehicle mileage, measure fuel consumption, and remotely control a vehicle's door locks. In February 2013, the company was awarded its second patent (patent number 8370268) for an automated wireless rental car management system.

Analytics

In 2012, the company launched I.D. Systems Analytics, a set of web-based data reporting software tools. Analytics provides visibility into the performance of industrial assets across multiple facilities and geographies. The data enables users to evaluate individual facility performance, compare facilities side-by-side, and assess performance against industry-wide benchmarks, built on the company's database.

Initial adopters of this product include Walgreen Company.

Recognition