eSIM Is Critical to the IoT-Driven Future

The Internet of Things (IoT) has ushered in a new horizon in technology, leading to opportunities for companies to accelerate performance, streamline operations and improve the customer experience.

While this technology is becoming commonplace in enterprises, it’s still challenging to deploy and maintain. The complexity of IoT initiatives often causes them to fail. Many businesses that want to leverage IoT are turning to simplified ways to manage IoT. 

SIM Defined:
Differences Between Traditional, Soft, and eUICC

In the case of Subscriber Identity Module (SIM) technology, there are essentially three different types, each with their own attributes. By understanding the differences, you can identify which approach is best for your IoT implementation. 

• Traditional SIM: This carrier-specific SIM can only provision a single profile with 64KB to 128KB of memory. In this scenario, if you want to switch carriers, you also have to replace the SIM. 
• Soft SIM: This technology describes a conceptual capability in a device, which can be provisioned remotely. No SIM exists in the device. Rather, the provisioning information is held in memory. Because of the way these SIMs operate, they are considered more at risk for hacking.
• eUICC (Embedded Universal Circuit Card): Embedded SIMs (eSIM) are permanently placed in devices to connect with the internet and are not removable. Because of this, they’re viewed as more secure than their “soft” counterparts. An eUICC can host multiple profiles and typically has a minimum memory of 512KB, which makes them attractive to companies that manage many different IoT devices.

Benefits of eSIM

The SIM was designed more than 30 years ago when cellular technology was very different from what it is today. The “one SIM, one operator” model no longer works with the demands of mass deployment of connected industrial components and where logistics firms want their vehicles to remain online cross border. The need to remove a SIM and install another one just to change network operators is an inconvenience and a barrier to effective supply chain operations. Hence the welcomed innovation of eSIM.

eSIM is an integrated chip, which offers many advantages in the world of IoT and together with the GSMA’s international standard for provisioning network services, It stores many cellular profiles, so it can work seamlessly in any location. It doesn’t require a specific spot like other types of SIM cards, making it ideal for space-constrained IoT devices.

The concept brings simplified management of SIMs since there is only one point to manage all subscriptions. The control of the SIM is no longer with the mobile operators; it’s now in the hands of the device user. As soon as the device leaves the factory, it’s immediately enabled to connect to a mobile network, no matter where it’s deployed.

Another major advantage of the eSIM is its future-proof design and reliability for the entire lifecycle of the device, allowing for easy upgrading. When legacy systems are retired, the transition is smooth; no new SIM card required. 

You are also likely to reduce your IoT costs by employed eSIM technology. Since everything is provisioned on one network, there’s less inventor and fewer contracts, platforms, and invoices to manage. 

eSIM Use Cases

Counterpoint Research predicted that shipments of eSIM-based devices will reach almost two billion units by 2025, with a CAGR of 27%. And you can see why - eSIM has the potential to disrupt several inefficient processes and allow companies to harness the power of IoT. 

• Automotive industry: Most automotive companies are global. Being able to deliver cars without having to insert a specific SIM reduces their costs and improves reliability. Automakers can handle eSIMs in their vehicles as a managed service.
• Shipping and logistics: Knowing the exact location of shipments in real-time is valuable intel, and eSIM makes this possible, no matter where the goods begin or end.
• Agriculture: Corporate farming companies often have land across multiple states but need a decentralized network to track equipment, livestock, and people. This allows users to choose the wireless technology that best meets their conditions.

Power Your IoT Pursuits with KORE

Ready to start experimenting with an eSIM connectivity solution? Try our eSIM Starter Kit.