{"id":8030,"date":"2025-08-14T11:46:36","date_gmt":"2025-08-14T10:46:36","guid":{"rendered":"https:\/\/squire-technologies.co.uk\/blog\/?p=8030"},"modified":"2025-11-06T10:28:11","modified_gmt":"2025-11-06T09:28:11","slug":"the-hidden-benefit-of-esim-market-expansion","status":"publish","type":"post","link":"https:\/\/squire-technologies.co.uk\/blog\/the-hidden-benefit-of-esim-market-expansion","title":{"rendered":"The hidden benefit of eSIM market expansion"},"content":{"rendered":"
<\/div>
\n

\n\t\t<\/span> <\/span> \n\t\t<\/span><\/span><\/p>\n<\/div>\n

\n

The hidden benefit of eSIM market expansion<\/strong><\/h2>\n<\/h2>\n

\"eSIM<\/p>\n

\n

Cheap, local network access when travelling, IoT, and reduced operating costs are several factors driving eSIM market expansion. Customers, telecom operators and businesses all stand to gain from the eSIM revolution. However, there is another, less obvious, yet more important, winner in eSIM adoption.<\/h4>\n<\/div>\n
\n

Activating an eSIM on the same day as purchase is a small but significant triumph for the mobile market. Additionally, simple network switching and multiple eSIMs on one device could radically change consumer behaviour and improve our lives.<\/p>\n

That said, there is more to eSIMs than ease of use and low costs. One of the biggest winners in the eSIM revolution could be the environment. <\/p>\n

First, let\u2019s look at what\u2019s contributing to the growth of eSIMs and some of the problems with them.<\/p>\n<\/div>\n

\"Drone<\/p>\n

\n

Factors driving the eSIM market expansion<\/b><\/h3>\n<\/h3>\n
\n

eSIMs for travel<\/h4>\n

Consumer eSIM awareness is low, but Proximus Global suggest demand is considerable for travel eSIMs. Around half of surveyed US and UK consumers are interested in using travel eSIMs to avoid roaming costs. The number is higher in China, at 60% of consumers.<\/p>\n<\/div>\n

\n

Reduced operating costs<\/h4>\n

For mobile network operators (MNOs), eSIMs are a double-edged sword. Mobile virtual network operators (MVNOs) benefit from the same advantages of reduced physical SIM manufacturing and delivery costs. Consequently, lower barriers to market entry will fuel MVNO growth, increasing competition. <\/p>\n

Nevertheless, MNOs need to move into eSIMs. Otherwise, they will miss out on the savings, giving competitors an advantage. <\/p>\n<\/div>\n

\n

eSIMs for IoT<\/h4>\n<\/div>\n

\"IoT<\/p>\n

\n

MNOs are better positioned than MVNOs to capitalise on critical and logistical communications concerned with IoT. MNOs can prioritise their traffic above that of MVNO traffic. Thus, they can establish a strategic advantage, providing critical and logistical communication assurances that MVNOs can\u2019t.\u00a0<\/p>\n

Thanks to lower overheads, MVNOs can offer cheaper contracts to customers than some MNOs can. However, the proliferation of eSIMs in IoT devices could negate the impact of the lower costs offered by MVNOs. <\/p>\n<\/div>\n

\n

eSIMS risks<\/b><\/h3>\n<\/h3>\n
\n

There are pros and cons to any product or service. Researchers highlight some eSIM concerns in their paper, \u201ceSIMplicity or eSIMplification? Privacy and Security Risks in the eSIM Ecosystem\u201d, such as:<\/p>\n

    \n
  1. It can be trickier to transfer an eSIM than a physical SIM.<\/li>\n
  2. Users are taking on some complicated provider operations.<\/li>\n
  3. There are concerns about cybersecurity related to eSIMs<\/li>\n<\/ol>\n

    Trouble switching eSIMs<\/b><\/h4>\n

    If you damage your phone, you can simply put a physical SIM in a different device. Unfortunately, eSIMs aren\u2019t quite as simple.<\/p>\n

    You may encounter logistical hurdles when transferring eSIMs between devices if an eSIM is tied to a device. Unfortunately, to prevent unauthorised eSIM sharing, operators are tying eSIMs to singular devices, making it harder to switch devices. This rigidity runs counter to the flexibility of easy local network access. <\/p>\n

    Trouble managing eSIMs<\/b><\/h4>\n

    Till eSIMs, the provisioning and management of subscriber SIM profiles were done by operators. Now, eSIMs are moving this administrative process to users through Remote SIM Provisioning (RSP). Users may encounter several issues when trying to manage their eSIMs. For example, in some cases, deleting an eSIM profile while the device is offline may create a conflict between the device and the server. If one thinks the profile is active and the other doesn\u2019t, it can hinder profile reactivation.<\/p>\n<\/div>\n

    \n

    Trouble securing eSIMs<\/b><\/h4>\n

    Most consumers don\u2019t understand the risks of eSIMs, as it is a nascent technology. The ease of scanning a QR code and linking your device to a network raises a considerable risk. Bad actors could put QR codes where they are likely to be scanned, gaining access to your device. Similarly, eSIM profiles could be configured to track you or exfiltrate data.<\/p>\n<\/div>\n

    \"QR<\/a><\/p>\n

    \n

    Without question, emerging eSIM risks need to be addressed. However, as technology evolves, private network attacks and data flow privacy issues will likely be handled and won\u2019t outweigh eSIMs’ overwhelming benefits.<\/p>\n<\/div>\n

    \n

    Some hidden benefits of eSIMs<\/b><\/h3>\n<\/h3>\n
    \n

    The effects on economies and infrastructure of eSIM-enabled IoT devices will revolutionise how we conduct our lives. Our behaviour could radically change as we enter a \u2018Buy it. Scan it. Use it. Switch it.\u2019 subscriber phase. <\/p>\n

    Currently, eSIMs are mainly seen as a travel benefit. However, the advantages of eSIMs go beyond local network access. eSIMs also offer value in more niche areas. <\/p>\n<\/div>\n

    \n

    Cost savings<\/h4>\n

    eSIMs offer cheaper alternatives to international roaming charges, but consumers can also save money with data-only eSIM contracts. The ease of eSIM manufacturing and delivery will likely increase competition, which may naturally lead to lower prices for consumers.<\/p>\n

    Network switching<\/h4>\n

    While not a perfect solution, subscribers in areas with patchy coverage could benefit from the ease of switching between networks. Additionally, having multiple eSIMs on one device could lower device costs for those customers and people travelling between several countries. <\/p>\n<\/div>\n

    \n

    Environmental impacts<\/h4>\n<\/div>\n
    \n

    The real hidden benefit of eSIM market expansion relates to the environment. Increasingly, consumer segments may value the lower environmental impact of eSIMs. In addition to less plastic SIM card waste, eSIMs generate 46% less carbon emissions across their lifecycles compared to physical SIMs. Furthermore, they can extend the lifespan of devices. <\/p>\n<\/div>\n

    \n

    For operators, consumers and businesses, the best eSIM benefit is their efficiency and money saving, while reducing environmental impacts. However, studies show that unless consumers see a product\u2019s direct environmental benefits, they typically choose the cheapest product. Thankfully, eSIMs cost less and offer better features than physical SIMs. Operators just need to increase consumer awareness about the myriad benefits of eSIMs.<\/p>\n<\/div>\n

    \"SIM<\/a>
    \n\"Douglas<\/p>\n

    \n
    \n

    ‘Operators could pass savings from the lower eSIM operating costs onto customers or reinvest them in infrastructure and device engineering. Whatever operators choose, the future is clear. The eSIM market is going to massively expand; it\u2019s just a question of how soon.’ <\/p>\n

    Douglas Bryce, Marketing Communications Specialist at Squire Technologies<\/strong><\/p>\n<\/div>\n

    \n
    \n

    To find out more about Squire Technologies, visit www.squire-technologies.com<\/a><\/p>\n

    References<\/strong><\/b><\/p>\n

    www.bmmagazine.co.uk\/business\/esim-vs-roaming-which-one-is-cheaper<\/a><\/p>\n

    www.thefastmode.com\/technology-and-solution-trends\/42759-proximus-global-report-reveals-surging-consumer-demand-for-travel-esim-solutions<\/a><\/p>\n

    www.nordvpn.com\/blog\/what-is-an-esim\/?srsltid=AfmBOopS_rRaB6jc18g1TwBThL9UN4o0VaZH-NcF9AplVqn3TL-vqcy3<\/a><\/p>\n

    www.iot-analytics.com\/benchmarking-iot-mobile-operator-pricing-mnos-vs-mvnos\/<\/a><\/p>\n

    www.aanjhan.com\/assets\/sec25-motallebighomi.pdf<\/a><\/p>\n

    www.sustainableict.blog.gov.uk\/2025\/05\/13\/defra-leads-the-way-with-esim-adoption-to-drive-sustainability-in-government-ict\/<\/a><\/p>\n<\/div>\n

    \"linkedin<\/a><\/p>\n


    \n<\/p>\n","protected":false},"excerpt":{"rendered":"

    Cheap, local network access when travelling, IoT, and reduced operating costs are several factors driving eSIM market expansion. Customers, telecom operators and businesses all stand to gain from the eSIM revolution. However, there is another, less obvious, yet more important, winner in eSIM adoption.<\/p>\n","protected":false},"author":1,"featured_media":8084,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[133,560,413,442,573,290,559,157,117,66,93,736,744,234,141,745,636,260,98,203],"class_list":["post-8030","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-5g","tag-agile","tag-climate-change","tag-cyber-security","tag-cybercrime","tag-esim","tag-flexible","tag-iot","tag-mno","tag-mvno","tag-opex","tag-prepaid","tag-qr-code","tag-reduce-costs","tag-roaming","tag-roaming-charges","tag-scam","tag-sim","tag-squire-technologies","tag-telecoms-network"],"yoast_head":"\nThe hidden benefit of eSIM market expansion<\/title>\n<meta name=\"description\" content=\"Everyone stands to gain from the eSIM revolution. 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