RFID is the communication between a built-in transponder and an external reader. In most cases, transponders are smaller than one millimeter in diameter and can be cheaply manufactured. Almost all objects, even living creatures, can be equipped with transponders. Microchips have no battery requirements but draw their energy from reading device's radio waves. High speed communication is possible at distances from few centimeters up to several meters; various applications are possible. Manufacturing plants can automatically identify and process products. Logistics systems can use a completely IT-controlled storage system. When used inside living organisms, microchips enable the identification of wild animals or forgery-proof password authentication in high security areas.