eSIM: an immediate growth engine for innovative communication challengers

eSIM: an immediate growth engine for innovative communication challengers

The momentum surrounding eSIM – “the new kid on the telco block” – is gaining traction across many industries. Combining embedded technology in next-generation devices with a virtual token provided by telcos, it reduces logistical costs for service providers, while for consumers, replacing the manual SIM experience with a digital one. Furthermore, with its ability to be provisioned remotely, eSIM enables countless new connected devices to join the mobile ecosystem.

Let’s take a look at just some of the areas that are set to be revolutionized by the technology.

Industrial manufacturing

The past few years have witnessed a growth in both IoT-enabled devices and machine-to-machine technology applications across industries. This is because the introduction of eSIM enables businesses to send SIM profiles remotely over the air, rather than changing physical SIM cards across thousands of sensors and devices. So for example, it alleviates having to physically access a SIM-provisioned water pump in a remote field as a prerequisite to changing service providers.

Mobile network operators

With the consumer market for connectivity and mobile devices approaching saturation, mobile network operators are increasingly looking to market new types of always-connected IoT devices to boost declining revenue streams. Indeed, hundreds of such devices are being added to the network every day. And while expanding into these lines of business requires only time investment on the part of the operator, data usage from such devices offers the promise of significant new revenue as uptake and usage grows over time.

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Consumers

While the inconvenience of visiting a store to obtain a physical SIM followed by a laborious porting process deters many subscribers from switching service providers, eSIM eliminates these inconveniences. Furthermore, the technology enables subscribers to enjoy a more digital experience throughout the entire SIM lifecycle – including troubleshooting, roaming and more.

Enterprises

With eSIM, enterprises of all sizes can digitally manage their employees’ communications across smartphones, laptops and other connected devices, such as car fleets. Moreover, it enables remote management of the entire employee lifecycle for scenarios ranging from new employee onboarding and relocations to employees requiring roaming for business travel and more. eSIM also opens the door to cost savings by enabling communications and mobile device management (MDM) departments to be consolidated into a single operating unit.

Handset and device manufacturers

eSIM simplifies the logistics process for connected devices, as it eliminates the need to provision a specific SIM type prior to shipping. Freed resources can subsequently be diverted to enhance different aspects of the device, such as improving aesthetics and adding new features.

SIM manufacturers

The shift to eSIM provides manufacturers with an opportunity to diversify into the software provider domain. Here, the key lies in the technology embedded within the eSIM that manages it, while also providing advanced features to both the device manufacturer and mobile network operator.

To read more about Amdocs’ eSIM offering, download our e-book.