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Intermec

Intermec, Inc. was an American technology company specializing in automatic identification and data capture (AIDC) solutions, including mobile computing devices, radio frequency identification (RFID) systems, barcode scanners, and thermal printers for industrial and enterprise applications. Founded in 1966 as Interface Mechanisms, Inc. in Mountlake Terrace, Washington, the company initially developed machine-readable coding technologies such as dual-image tape for data compilation and inventory tracking. It adopted the Intermec name in 1982 and relocated its headquarters to Everett, Washington, where it grew into a leader in ruggedized hardware for supply chain, logistics, and warehousing sectors. In December 2012, Honeywell International Inc. announced its acquisition of Intermec in an all-cash transaction valued at approximately $600 million, which was completed on September 17, 2013. The deal combined Intermec's expertise in data capture with Honeywell's scanning and printing technologies, creating a broader portfolio under Honeywell's Productivity and Workflow Solutions division, now part of Honeywell Industrial Automation. Prior to the acquisition, Intermec reported annual revenue of $848 million in 2011 and employed approximately 2,200 people globally, with a focus on innovative solutions for asset tracking and workflow efficiency. Today, Intermec-branded products continue to be developed and supported by Honeywell, emphasizing durable, connected devices for sectors like manufacturing, retail, and transportation.

Overview

Company profile

Intermec was founded in 1966 as Interface Mechanisms Inc. in Mountlake Terrace, Washington, initially developing technologies for automatic identification and data capture, including portable barcode scanners and printers. Over the decades, the company evolved into a prominent leader in automatic identification and data capture (AIDC) technologies, developing solutions that streamlined operations in supply chain and logistics environments. Intermec relocated its headquarters to Everett, Washington, where it grew to employ approximately 2,700 people at its peak in the mid-2000s, generating annual sales of $811 million in 2004. The company primarily served industries including manufacturing, transportation, healthcare, and retail. In 2013, Intermec was acquired by Honeywell International Inc. for approximately $600 million.

Post-acquisition status

Following the completion of its acquisition by Honeywell International Inc. on September 17, 2013, for approximately $600 million in an all-cash transaction, Intermec was integrated into Honeywell's Productivity Solutions and Services (PSS), which includes scanning and mobility solutions and operates within the Industrial Automation segment. This integration combined Intermec's expertise in mobile computing, barcode scanning, and RFID technologies with Honeywell's existing portfolio, enhancing offerings in automated identification and data capture for industrial and logistics applications. Intermec's technologies have been integrated into Honeywell's Productivity Solutions portfolio, building on legacy Intermec hardware for ruggedized solutions, though products are primarily branded under Honeywell. This approach preserved Intermec's established market presence in ruggedized solutions, though many offerings now carry Honeywell designations. In July 2025, Honeywell announced it was evaluating strategic alternatives for PSS, including a potential divestiture, though as of November 2025, it remains part of the Industrial Automation segment with no changes to Intermec-derived assets. As of 2025, support for select legacy Intermec products, including certain scanners and printers like the PF4i series, has been discontinued, with Honeywell directing users to migrate to compatible alternatives such as the PC Series printers or CK Series mobile devices. However, Intermec-derived technologies remain integral to ongoing RFID and mobile computing solutions, supporting applications in supply chain management and warehouse automation. Meanwhile, Honeywell's broader 2025 business restructuring, which includes the spin-off of its Advanced Materials unit (Solstice) in October and plans for an Aerospace Technologies separation in 2026, has not involved any announced dissolution or divestiture of Intermec-related assets within the Industrial Automation segment.

History

Founding and early innovations (1966–1990)

Intermec was founded in 1966 as Interface Mechanisms Inc. in Mountlake Terrace, Washington, initially focusing on industrial printing and labeling equipment, particularly developing dual-image tape for machine-readable data in the phototypesetting industry. The company emerged as a pioneer in automatic identification and data capture (AIDC) technologies, starting with innovations that addressed the need for efficient data encoding and reading in industrial settings. In 1971, Intermec introduced a portable barcode scanner and the first on-demand barcode label printer, which significantly advanced inventory tracking by enabling real-time data capture outside fixed workstations. The following year, in 1972, the company launched an early computerized cash register with integrated barcode reading capabilities, laying groundwork for point-of-sale systems that streamlined retail transactions. By 1974, under the leadership of President Dr. David C. Allais and barcode pioneer Raymond L. Stevens, Intermec invented Code 39, an alphanumeric barcode symbology featuring variable-length encoding of letters, numbers, and select symbols, which became a foundational standard for logistics and manufacturing and remains in use today. During the 1980s, Intermec experienced robust growth, with sales increasing from $14.3 million in 1982 to $40.2 million by 1985, earning recognition as one of Business Week's "100 Best Little Growth Companies in America." To expand its labeling capabilities, the company acquired Ultra Print Tape & Label Corp. in April 1983 and TEMA, based in Natick, Massachusetts, in 1985, integrating specialized printing and distribution expertise. These moves supported Intermec's evolution into a key provider of barcode solutions for industrial applications.

Expansions and corporate changes (1991–2000)

In 1991, Intermec underwent significant corporate restructuring through its acquisition by Litton Industries Inc. for approximately $200 million in a tender offer at $24 per share, which allowed the company to integrate its barcode technologies into Litton's broader portfolio in electronics, aerospace, and defense systems, thereby enhancing applications in military logistics and inventory management. This move positioned Intermec to leverage Litton's resources for scaling its automatic identification and data capture (AIDC) solutions in high-stakes sectors. Concurrently, to bolster its global footprint, Intermec acquired its key distributors, Intermec U.K. Ltd. in Reading, England, and Intermec Australia Pty. Ltd. in Melbourne, marking an early step in international expansion and strengthening direct market presence in Europe and the Asia-Pacific region. By 1994, following Litton Industries' strategic divestitures amid financial pressures, Intermec's ownership shifted to become a subsidiary of Western Atlas Inc., a geophysical services firm spun off from Litton with annual revenues exceeding $2.5 billion, allowing Intermec to operate with greater focus on industrial automation while benefiting from the parent's diversified operations outside core oilfield services. This transition maintained continuity in Intermec's growth trajectory, emphasizing the expansion of barcode and data collection technologies into broader industrial applications. The year 1997 brought transformative changes for Intermec through a series of acquisitions and ownership realignments under Western Atlas. In January, Intermec completed the $261 million acquisition of Norand Corp., a Cedar Rapids, Iowa-based firm specializing in mobile computing systems such as pen-based sub-notebook computers, which enhanced Intermec's capabilities in portable data capture and wireless solutions for field operations. In April, Western Atlas acquired the RFID assets of United Barcode Industries Inc. (UBI) in Cincinnati, Ohio, integrating UBI's advancements in radio frequency identification for asset tracking and supply chain management into Intermec's portfolio. Later that year, Unova acquired IBM's RFID semiconductor technology, positioning Intermec as a leader in emerging RFID systems for high-volume identification needs. These moves culminated in October 1997 when Western Atlas spun off its non-oilfield assets, including Intermec, to form Unova Inc., establishing Intermec as a key subsidiary within a dedicated industrial automation entity and creating the largest automatic data collection company in the industry at the time. By 1999, these expansions had driven Intermec's revenue to $800 million, fueled by a diversified AIDC portfolio that combined barcode printing, mobile computing, and nascent RFID technologies across logistics, manufacturing, and retail sectors. This milestone reflected the successful integration of acquired expertise and international operations, solidifying Intermec's role as a global innovator in data capture solutions entering the new millennium.

Challenges and developments (2001–2012)

In the early 2000s, Intermec Technologies Corporation underwent significant corporate restructuring as its parent company, Unova Inc., divested non-core industrial assets to concentrate resources on the automatic identification and data capture (AIDC) business, effectively positioning Intermec as an independent entity focused on core technologies. This process began in 2001 amid broader market shifts, with Unova selling off divisions like Cincinnati Lamb and Landis Grinding by 2005, culminating in Unova's name change to Intermec Inc. in January 2006, while retaining Intermec Technologies as its primary subsidiary. As traditional barcode demand stabilized and began to decline due to market maturity, Intermec pivoted toward radio frequency identification (RFID) technologies for growth, introducing innovations like an RFID tire-tracking system in 2002 and joining EPCglobal to support emerging RFID standards. This strategic emphasis was underscored by legal actions to protect its intellectual property; in June 2004, Intermec filed a patent infringement lawsuit against Matrics Inc. in U.S. District Court in Delaware, alleging that Matrics' RFID products violated four Intermec patents related to readers, chips, tag operations, and interrogation methods, seeking royalties and an injunction. The suit was settled in September 2005 after Symbol Technologies acquired Matrics, resulting in a cross-licensing agreement that granted both parties access to relevant RFID patents. Intellectual property disputes intensified in 2005 when Intermec countersued Symbol Technologies for infringing six patents covering barcode scanning, wireless communications, and handheld devices, following Symbol's earlier claims against Intermec over Wi-Fi and bar code technologies. The conflict, rooted in competing AIDC solutions, was resolved later that year through additional cross-licensing and a four-year covenant not to sue, allowing both companies to advance without further litigation. These battles highlighted Intermec's robust patent portfolio—more than 145 RFID-related patents by the mid-2000s—but also diverted resources amid competitive pressures. To broaden its offerings beyond hardware, Intermec diversified into software-enabled solutions, including voice-directed workflows and advanced mobile computing systems, with annual sales stabilizing around $800 million by the mid-2000s—rising from $665 million in 2001 to $811 million in 2004. A key milestone was the 2011 acquisition of Vocollect Inc. for $190 million, a voice technology firm, which integrated hands-free, voice-guided systems into Intermec's portfolio to enhance warehouse efficiency and data capture accuracy. Facing industry consolidation in the AIDC sector, Intermec explored strategic partnerships through the late 2000s and into 2012 to strengthen its market position, including collaborations on RFID standards and acquisitions like Vocollect to bolster capabilities in emerging workflows. These efforts positioned the company for potential mergers or alliances amid declining standalone growth prospects in mature segments.

Acquisition by Honeywell (2013)

On December 10, 2012, announced its intent to acquire Intermec in an all-cash transaction valued at approximately $600 million, aiming to strengthen its offerings in scanning and mobility technologies within the automatic identification and data capture (AIDC) sector. The deal was positioned as a strategic move to combine Intermec's expertise in , (RFID), and solutions with 's broader , thereby enhancing supply chain efficiency for customers across industries. The acquisition faced regulatory scrutiny, with the U.S. Federal Trade Commission (FTC) granting approval on September 13, 2013, subject to conditions designed to maintain competition in key markets. Specifically, the FTC required Honeywell to license patents related to two-dimensional (2D) scan engines and RFID readers to third parties, preventing potential anti-competitive effects in RFID and barcode scanning technologies. These measures addressed concerns over market concentration following the merger, ensuring continued innovation and accessibility in AIDC solutions. The transaction closed on September 17, 2013, integrating Intermec into Honeywell and adding over $800 million in annual revenue from Intermec's operations in mobile computing, RFID, and printing technologies. Intermec's portfolio expanded Honeywell's capabilities in rugged devices and data management, creating a combined entity with enhanced global reach in supply chain automation. As part of the initial integration, Intermec was placed under Honeywell's Automation and Control Solutions segment, specifically within the Scanning & Mobility division, to leverage synergies in product development and customer support.

Products and technologies

Barcode and printing solutions

In 1971, Intermec developed one of the first portable barcode scanners, introducing an early handheld device capable of reading barcodes in mobile environments, which helped revolutionize data capture for industrial applications. Over the subsequent decades, the company advanced scanner technology to include laser-based models in the late 1970s and early 1980s, enabling faster and more reliable reading of 1D barcodes such as Code 39, which Intermec had invented earlier for alphanumeric data storage. By the 1990s, Intermec introduced imager-based scanners, culminating in the first handheld 2D matrix barcode scanner in 1995, which expanded capabilities to decode stacked and matrix symbologies like PDF417 and Data Matrix for denser information encoding. These scanners featured ergonomic designs and high-speed decoding engines, supporting a wide range of 1D and 2D symbologies essential for supply chain operations. Complementing its scanning innovations, Intermec developed on-demand barcode printers starting with the industry's first model in 1971, allowing immediate label production without pre-printed rolls. The EasyCoder PC4 series, launched in the early 2000s, represented a key evolution in this lineup, offering compact, dedicated direct thermal and thermal transfer printers with resolutions of 200 or 300 dpi for precise labeling in industrial settings. These printers supported peel-off, tear-off, and batch modes, with interfaces including RS-232, USB, and parallel ports, and optional battery packs for mobile use, making them suitable for generating durable labels resistant to harsh conditions like chemicals and abrasion. The EasyCoder lineup emphasized reliability in high-throughput environments, with features like automatic media detection to minimize downtime. Intermec's barcode solutions included proprietary software tools for symbology configuration and integration, enabling seamless data flow for inventory and asset tracking applications. These tools supported encoding and decoding of various barcode standards, facilitating real-time updates in enterprise systems without custom development. In logistics, Intermec scanners and printers were optimized for high-volume warehouse operations, where devices like the ScanPlus series handled thousands of scans per shift while featuring IP65-rated enclosures for dust and water resistance, ensuring performance in demanding conditions such as forklift traffic and temperature fluctuations. This durability, combined with drop specifications up to 2 meters, allowed reliable deployment in distribution centers for tasks like picking, packing, and shipping verification.

RFID and data capture systems

In 1997, Intermec acquired radio frequency identification (RFID) semiconductor technology from IBM, which laid the foundation for developing a range of RFID components including readers, tags, and antennas tailored for asset tracking applications across supply chains and industrial settings. This acquisition, alongside the purchase of United Barcode Industries (UBI) that same year, enabled Intermec to expand into wireless data capture beyond traditional optical methods. The technology facilitated the creation of robust RFID systems capable of operating in challenging environments, such as manufacturing and logistics, where real-time identification of assets improves inventory accuracy and operational efficiency. A key product in Intermec's RFID portfolio was the IF2 network reader, a compact device designed for ultra-high frequency (UHF) RFID applications while supporting compatibility with high frequency (HF) elements in broader systems. The IF2 featured Power over Ethernet connectivity, multiple RF ports, and adherence to EPCglobal Gen 2 standards, allowing seamless integration into enterprise networks for reading and writing tags at distances suitable for asset tracking. These readers were deployed in environments requiring scalable RFID infrastructure, such as warehouses, where they automated data collection without line-of-sight requirements, reducing manual intervention and errors in supply chain processes. Intermec advanced data capture by integrating RFID with sensors to enable real-time location systems (RTLS), particularly in supply chain applications like forklift-mounted solutions that tracked assets with high precision. This combination allowed for contextual data fusion, where RFID tags provided identification while sensors added location and environmental data, enhancing visibility in dynamic logistics operations. Post-2000, Intermec evolved toward hybrid solutions by acquiring Vocollect in 2011, incorporating voice-directed workflows with RFID and sensor technologies to automate warehouse tasks such as picking and inventory management. These integrated systems improved worker productivity by delivering hands-free guidance alongside RFID-verified data, fostering more efficient automation in distribution centers.

Mobile computing devices

Intermec's entry into mobile computing was significantly advanced by its 1997 acquisition of Norand Corporation for $261 million, which brought expertise in rugged handheld devices tailored for mobile data collection in demanding environments. This integration enabled the development of durable personal digital assistants (PDAs) and laptops designed for industrial use, such as the CN3 series, which ran on Microsoft Windows Mobile 5.0 and incorporated features like integrated scanners, Bluetooth, Wi-Fi, and GPS for on-the-go data processing. These devices emphasized portability and reliability, supporting enterprise applications where workers needed robust computing in harsh conditions. Complementing handheld options, Intermec produced vehicle-mounted terminals optimized for forklifts and other industrial vehicles, facilitating real-time data management during operations. The CV41 series, for instance, integrated Wi-Fi connectivity, optional GPS via WWAN radios, and compatibility with barcode scanners and RFID readers to streamline inventory tracking and logistics workflows. These terminals were engineered for fixed installation, minimizing operator distraction while enabling seamless integration with broader network systems. Key features of Intermec's mobile computing devices included compliance with MIL-STD-810G standards for , , and resistance, ensuring functionality in industrial settings. life was optimized for extended shifts, with capacities like 5200 mAh Li-Ion packs supporting up to 12 hours of without recharging. Additionally, bundled software such as the Intermec Client Pack provided tools for , including configuration, , and application deployment to enhance . These devices found primary applications in field service for on-site repairs and inspections, retail point-of-sale systems for mobile transactions, and transportation sectors like logistics and direct-store delivery to improve inventory accuracy and route optimization. Prior to its 2013 acquisition by Honeywell, Intermec reported annual revenue of $848 million (as of 2011), underscoring its growth within automatic identification and data capture markets.

Innovations and legacy

Key inventions and patents

Intermec's most notable early invention was Code 39, a variable-length alphanumeric barcode symbology developed in 1974 by Dr. David Allais and Ray Stevens. This symbology enabled the encoding of uppercase letters, digits, and select punctuation, making it suitable for logistics and inventory applications where numeric-only codes were insufficient. Code 39 became one of the most widely adopted barcode standards, particularly in U.S. Department of Defense systems for tracking military logistics. In 1971, Intermec developed a portable barcode scanner, a handheld device that advanced on-site data capture by allowing workers to read codes without fixed terminals. This invention was protected by early patents, including those covering optical scanning mechanisms and portable data processing integration, which laid the foundation for mobile automatic identification and data capture (AIDC) technologies. A significant advancement in RFID technology occurred in 1997 when Intermec acquired IBM's RFID semiconductor operations, including key patents on radio frequency identification tags and readers. This tech transfer provided Intermec with foundational intellectual property, such as patents for low-power RFID chips and anti-collision protocols, enabling the development of robust semiconductor-based tags for supply chain applications. Examples include U.S. Patent No. 6,100,804 for a radio frequency identification system involving thin flexible tags. By the 2000s, Intermec's patent portfolio in AIDC had expanded substantially, exceeding 140 patents related to UHF passive RFID alone, alongside broader holdings in barcode and data capture innovations. This growth included hybrid systems combining barcode and RFID technologies, such as the combination RFID/image reader outlined in European Patent EP1708118A3, which integrated optical barcode scanning with RFID interrogation for versatile asset tracking. Intermec also secured patents for specialized AIDC enhancements, including voice-directed picking systems that used audio interfaces to guide warehouse operations and reduce errors in order fulfillment. These innovations, protected under patents like those for integrated voice-data terminals, improved hands-free efficiency in dynamic environments. Additionally, patents for durable mobile interfaces addressed ruggedized designs, such as keypad overlays and touch-sensitive membranes resistant to environmental hazards, exemplified in U.S. Patent No. 5,869,840 for light-activated switches in handheld scanners.

Industry impact and disputes

Intermec's development of the Code 39 barcode symbology in 1974 by Dr. David Allais and Ray Stevens marked a significant advancement in alphanumeric encoding, which was subsequently standardized by the American National Standards Institute (ANSI) under MH 10.8 M-1983. This standard facilitated widespread adoption in industrial and logistics applications due to its versatility in encoding letters, numbers, and select symbols. Furthermore, Intermec's innovations in barcode label printers contributed to the evolution of high-quality printing standards, influencing guidelines within the GS1 system for reliable data capture in global supply chains. The company's pioneering work in portable automatic identification and data capture (AIDC) technologies, including early handheld terminals, played a key role in enabling just-in-time inventory management by providing real-time visibility and accuracy in warehouse operations and logistics. These advancements supported the growth of efficient supply chains, particularly as e-commerce expanded, by reducing errors in tracking and shipping through automated data collection. Intermec's solutions helped automate industrial supply chains, allowing companies to streamline data handling from receipt to delivery. Intermec was involved in notable intellectual property disputes in the mid-2000s, particularly around RFID technologies. In June 2004, Intermec filed a patent infringement lawsuit against Matrics Inc., a RFID tag maker later acquired by Symbol Technologies in September 2004, alleging violations of patents related to RFID readers, chips, tag operations, and communications. This escalated in 2005 when Symbol countersued Intermec for infringing on Symbol's patents covering Wi-Fi-enabled data capture devices and other IP, following failed cross-licensing negotiations. The parties resolved the RFID-specific dispute in September 2005 through a cross-licensing agreement granting mutual access to relevant patents, with full settlement of all outstanding claims achieved by July 2006. Prior to its 2013 acquisition by Honeywell, Intermec held a leadership position in the AIDC market, generating over $800 million in annualized sales and dominating segments like barcode printing and mobile computing. Following the acquisition, Intermec's technologies have persisted within Honeywell's portfolio, with current printers and AIDC solutions built on legacy Intermec innovations for barcode, RFID, and data capture applications. As of 2025, these foundational contributions continue to underpin Honeywell's productivity solutions in logistics and industrial sectors.

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