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eSIM in IoT: Enhanced Security, Simplified Roaming, Low Adoption

  • eSIM technology is transforming cellular IoT connectivity with benefits like remote SIM provisioning, global connectivity, and enhanced security through embedded hardware solutions.
  • Of the 16.6 billion connected IoT devices in 2023, 3.56 billion (or 21%) relied on cellular connectivity.
  • Traditionally, cellular IoT connections relied on physical SIM cards, which were often locked into specific providers and required swapping when entering new regions, countries, or even coverage areas within countries.
  • eSIM technology empowers IoT devices with global connectivity, which is crucial for businesses aiming to operate internationally.
  • Embedded SIMs (eSIMs) allow for remote, over-the-air network provisioning of network profiles and includes embedded secure elements, ensuring secure, end-to-end communication.
  • The GSMA’s IoT Security Architecture for End-to-End Security (IoT SAFE) specifications further enhance the security provided by eSIM technology.
  • The delay in widespread adoption of eSIM for IoT (and in general) stems from challenges associated with remote SIM provisioning (RSP) and divergent standards for consumer IoT devices versus machine-to-machine (M2M) technologies in enterprises.
  • Given the release of SGP.31 and SGP.32, there is reason to expect accelerating growth in the eSIM market.
  • eSIM technology is revolutionizing IoT by offering secure, flexible, and scalable solutions for connectivity.
  • As the market evolves, we can expect broader integration and innovation across IoT applications.

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