Analyst company Omdia forecast use of eSIM was primed for mass adoption in IoT devices due partly to improvements in the technology, with the number of devices connected expected to go from a little more than 1 billion in 2023 to above 3.6 billion in 2030.
In its prediction, Omdia highlighted the market was being driven by a combination of improvements in eSIM technology aided by new standards, enterprise demand and the emergence of reduced capability, 5G Massive IoT and LTE Cat-1bis modules.
Previously, Omdia noted, the adoption of eSIM in IoT had been hampered by “constraints on power, computing and end-user intervention”, but highlighted these hurdles are beginning to be reduced.
Areas cited as improving were the ability to simply switch between profiles, improved device management and better commercial terms. Part of the improved outlook is due to the GSMA SGP.31/32 specifications released in 2023 which designed specifically for IoT devices.
Industrial areas leading adoption in the years to 2030 are remote monitoring, energy and utilities, and smart cities.
Omdia IoT practice lead Andrew Brown said the newly-released specifications were much needed, adding they were “finally beginning to bridge the gap between traditional consumer device provisioning and more traditional IoT devices”.
“This will help to accelerate adoption in key industries, not only those that have long desired eSIM standardisation such as automotive, but in a multitude of others also”.
Source; GSMA
