The future of eSIM technology

What the rise of eSIM means for seamless mobile connectivity

The rise of seamless mobile data connectivity has been a long time coming, but things have been changing fast since Apple’s launch of consumer eSIM devices last year. Google Android, which currently powers more than 2.5 billion connected devices globally, has responded by lifting the barriers upon mass adoption not just in smartphones, but also in everything from connected cars to personal health trackers. So, what are the benefits of eSIM connectivity for mobile network operators and device manufacturers, and what does the future hold?

Ushering in mass adoption with a new industry standard

First, we had full-size eSIM technology when it introduced support for the new standard with the launch of its Apple Watch Series 3 and second-generation iPad Pro series in 2017. But it wasn’t until the launch of the iPhone XS series last year that eSIM became an industry standard, prompting other device manufacturers and mobile network operators to get on board. Google quickly caught up with the release of its eSIM-compatible Pixel 3 series, and now it’s making its way into a multitude of other connected devices.

Today the mass adoption of eSIM connectivity is no longer restricted to high-end smartphones. Given the proliferation of 4G LTE and 5G networks across a vast range of use cases, it now has profound implications for mobile connectivity everywhere. It has become an important enabler of machine-to-machine (M2M) and internet of things (IoT) systems, where seamless communication is pivotal. The technology has already found its way into many sectors, such as logistics and supply chain tracking, connected cars, and consumer eSIM smart devices.

What does the rise of eSIM mean for mobile network operators?

eSIM brings unprecedented freedom to the end-user by allowing them to store multiple operator profiles on a single device and switch between them easily. This may sound like bad news for mobile operators, particularly those who are in the habit of locking their customers into their services via a specific device. On the other hand, the ability for mobile operators to support the new technology can open up new possibilities in a world where it’s set to become the new standard, eventually to the point of rendering conventional SIM cards obsolete. Operators can also offer local connectivity to roaming users who were once dormant travellers due to high charges and erratic connectivity now being offered the attraction of high-speed, low-cost and reliable network access.

eSIM will undoubtedly make the mobile communications sector more competitive in 2020 and beyond. eSIM providers will also present mobile operators with new opportunities to cross-sell service plans in both consumer and business markets. The technology also makes it possible to use the same phone number across multiple devices, which is naturally a win-win for both parties. However, with eSIM making it possible for people to take advantage of better deals from other operators, the risk of increased churn is a major concern for mobile operators. On the other hand, this degree of flexibility can cut both ways, since an eSIM provider can make it much quicker and easier to provision new operator profiles. By contrast, in the case of conventional SIM cards, users need to visit the local branch of a mobile operator to purchase and install new cards. When changing networks, they also have to go through the often-laborious task of retaining their original numbers. Since eSIM is software-defined, rather than relying on specific hardware, end users may instead do everything online and remotely, thus opening up many new opportunities for competition across the sector.

In the end, mobile operators and device manufacturers can start offering eSIM solutions to improve customer experiences and accelerate the deployment of new connected devices – not just smartphones, but also many other consumer and industrials devices. This will require operators to invest in provisioning and management platforms to remain relevant, but the new business opportunities will make it worthwhile. IoT solution providers such as Workz, a company recently recognised by Counterpoint Research as one of the world’s six leading eSIM players, help streamline adoption of this new technology and prepare for a future where we can expect all devices to be connected.

Danya Ayaz is specialize digital Marketer & lead gen specialist at workz She is obsessed with Marketing and experimenting new things in life. | Digital Gravity