Impinj designs and sells a platform built around RAIN RFID, a wireless technology that connects physical items to the cloud without batteries or line-of-sight requirements. The core product is a tiny endpoint IC (chip) that embeds into item labels or packaging, storing a unique identifier that readers can wirelessly detect — up to 1,000 reads per second across a 30-foot radius. Endpoint ICs are a consumable: every new item that needs tracking requires a new chip, making this a recurring revenue stream that accounts for roughly 81% of revenue. The remaining ~19% comes from systems, including readers, gateways, reader ICs, and software. Retail apparel and footwear are the largest end markets, where retailers tag garments for real-time inventory, omnichannel fulfillment, and loss prevention. Supply chain and logistics is the second major market, where parcel carriers use RAIN tags to track and sort packages. Impinj sells endpoint ICs primarily to inlay manufacturers who embed the chips into labels, and sells readers and systems through distributors, systems integrators, and resellers. Impinj's newer M800 chip family offers higher gross margins than prior generations due to more dies per wafer, and its proprietary Gen2X extensions to the RAIN standard — exclusive to the M800 — enable advanced use cases like overhead reading and conveyor sorting, and require Impinj's endpoint ICs and reader ICs to function. Impinj's cost structure is largely fixed, creating operating leverage as volumes scale. Key growth opportunities include food item-level tagging at grocers and expansion into general merchandise categories.