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.