Proximity Networking: Essential Wireless Standards

Building the intelligent edge requires heavy use of embedded applications and connected technologies that have become commonplace across nearly every industry. Examples include continuous glucose monitors, car tires with sensors that anticipate potential failures, and inventory trackers in each step of a supply chain. An essential piece of designing applications for such scenarios is sharing data wirelessly over a relatively short range. That is accomplished with a set of technologies called proximity networking.

Proximity networking standards establish the rules by which devices detect and interact with other nearby devices or objects. The primary protocols are radio frequency identification (RFID), near-field communication (NFC), Bluetooth and Qi. Each has unique strengths and weaknesses that determine their suitability for given situations, particularly when integrated with larger Internet of Things (IoT) systems.

RFID basics

RFID is a proximity networking technology that uses a tag and a reader that communicate over the air at a specific radio frequency. Most RFID used in the supply chain world operates in the UHF band, usually in the 860 MHz to 960 MHz range. Some applications, such as pharmaceuticals and asset tracking, use the high frequency 13.56 MHz.

RFID can distinguish between active and passive devices. A passive device does not need a continuous power source. It can remain inactive most of the time, until the tag approaches an active device that induces a current through it. A passive device does not need batteries or charging, which has obvious advantages.

The RFID radius generally is under a meter, which is adequate for its typical uses, such as scanners that read equipment asset tags or verify security badges. But the range can be extended to over 10 meters for UHF tags and over 100 meters for powered active RFID systems.

RFID has been employed for decades for everything from inventory management to electronic toll collection systems. It is used mainly for self-identification; the device transmits a unique ID to a scanner, which runs authentication algorithms.

Explore more: The International Standards Organization (ISO) and GS1 work together to approve standards and protocols for RFID equipment and provide guidelines by which companies can develop complementary products such as tags, readers, software and accessories. Several organizations beyond ISO touch RFID, including the International Electrotechnical Commission, which also established the Joint Technical Committee with ISO.

NFC basics

The NFC standard, a subset of RFID, was introduced in 2003 and also focuses on short-range data communication. NFC devices operate at 13.56 MHz, just like high-frequency RFID readers and tags. This proximity networking technology has become popular for secure communication between devices that need to support real-time authentication, secure data exchange and interactive applications, such as in contactless payments, digital tickets and navigation.

Unlike RFID devices and tags, where the range can be up to 100 m, NFC devices must be quite close to each other — within 4 cm.

NFC has three modes:

• Reader/Writer mode: An active NFC device (such as a smartphone) reads data from or writes it to passive NFC tags, which may be embedded in product packaging, an edge device or a smart poster.
• Peer-to-Peer mode: Two NFC-enabled devices directly exchange data, such as contact information or files.
• Card Emulation mode: An NFC-enabled cellphone emulates a smart card, allowing it to function in existing contactless infrastructure, such as transit gates or payment terminals.

NFC allows interaction, not just the identification that RFID supports. Unlike Bluetooth, no pairing or manual input is required. NFC also has a wireless charging specification for smaller devices.

The NFC Forum is exploring expanding its use cases to include access control, IoT provisioning and digital keys. One part of that effort is support for the Digital Product Passport. The regulation, currently being implemented by the European Union, requires every product placed on the EU market to provide clear information about its entire lifecycle.

Explore more: The  NFC Forum offers technical specifications, compliance certification guidelines, white papers (on topics such as NFC in retail inventory efforts), membership benefits (special interest groups by industry, for example) and links to recent news coverage, making the industry group a natural starting point.

Bluetooth basics

Bluetooth connects mobile devices wirelessly over a short range to form a personal area network. It uses short-wavelength, UHF radio waves within the 2.400 GHz to 2.485 GHz range. Bluetooth is ubiquitous; according to 2025 research from the Bluetooth Special Interest Group (SIG) member community, 7.7 billion Bluetooth-enabled devices are forecast to ship annually by 2029.

The Bluetooth range is larger than those of other proximity networking technologies such as NFC or RFID: 10 meters, practically speaking, though the theoretical limit is 240 meters in a wide-open space.

However, Bluetooth networks require that devices be paired to create a connection. To do so, a developer must implement both server-side and client-side mechanisms. Developers use platform-specific APIs to initiate a pairing request, manage user consent and handle the bonding process, which involves exchanging security keys to create a secure, trusted connection. Those steps are advantages for ongoing connections, such as music speakers and medical devices, but impractical for ephemeral connections, such as a payment for an EV charging station.

There are two types of Bluetooth networks: piconets and scatternets. Piconets are small Bluetooth networks with a maximum of eight stations, including the master node, whereas a scatternet is an interconnected collection of two or more piconets.

Explore more: Bluetooth, initially standardized as IEEE 802.15.1, was released in 1999 and is managed by the Bluetooth SIG. Its website provides a baseline for what has gone before, the state of the art, where the field is headed and how the technology relates to competing options.

Qi basics

The standards discussed above are about wireless data transfer. In contrast, Qi, developed by the  Wireless Power Consortium, is a standard for inductive charging — charging devices by placing them on a compatible charging pad. Qi’s intentions are different those of the other standards, but they are related because people wielding cellphones and other edge computing hardware need to minimize space.

All of the proximity networking technologies all work together. The wireless charging market for personal electronic products requires multiple distinct solutions, which the Wireless Power Consortium and the NFC Forum explained in a joint statement. The parameters include power amperage, battery capacity, form factor, cost, power efficiency and consumer usage behaviors.

The global wireless charging market, particularly for in-car applications, is projected to grow significantly in the coming years. When coupled with wireless infotainment connectivity for consumer devices, this trend offers consumers a hassle-free way to bring more personalized experiences into the vehicle.

Explore more: As with the other standards’ websites, the Qi Wireless Power Consortium site curates resources, including specifications and road maps, references to testing labs for certification, and explainers for the magnetic induction technology behind Qi. Aptiv is involved in its Automotive Application Group. Also see “What Is the Qi Standard in Automotive?” to learn how it is being used today.

A moving target

These proximity networking standards are continually changing, as standards typically do. The NFC range is increasing, for instance.

Importantly, the various technologies intersect. NFC is known for contactless payment systems, but it also has charging features that are being exploited in certain situations, in conjunction with or instead of Qi. NFC enables the transfer of electrical energy from an outlet or source to a device without the need for a connecting cable.

In one current scenario that incorporates both NFC and Qi, drivers gain a convenient way to turn on the ignition by placing a digital key card in a vehicle’s wireless device charger. Aptiv’s engineers use NFC protocols and analog sensing techniques to support features like tag detection (e.g., reading cards and identifying metallic objects) and recognizing phones in card emulation mode. We also ensure compliance with the CCC Digital Key standard, which enables vehicle ignition via NFC.

Another technology that could be relevant for OEMs is smart cards, managed by the Secure Technology Alliance and the Trusted Connectivity Alliance. Their emphasis is on secure mobile connectivity technologies that promote a standardized security infrastructure for connected devices, particularly those using SIM and eSIM technologies.

NFC, RFID and Bluetooth tags have become so small and versatile that they are installed in every smartphone. As engineers across industries look to incorporate proximity networking technologies into their edge devices, it is important to consider the use cases for each standard and choose the right connectivity technology for the task at hand.