IoT eSIM Specifications: Benefits and Implications for Enterprises
Juniper Research expects cellular Internet of Things (IoT) device connections to almost double between 2024 and 2028, increasing by 91% from 3 billion to 6.5 billion. One of the fastest growing sectors in the space is cellular IoT eSIM (embedded SIM) and iSIM (integrated SIM). The analyst firm expects IoT eSIM and iSIM device connections to increase by 680%, from 165 million to 1.3 billion, in the same period.
This is the natural result of a confluence of factors. IoT device manufacturers are working with SIM card manufacturing companies to integrate embedded and integrated SIM form factors in their devices. Mobile network operators are building eSIM infrastructure or working with eSIM providers to provide advanced eSIM connectivity solutions for enterprises.
Driving and sustaining the spiralling growth of eSIM IoT adoption is the GSMA’s publication and release of the eSIM IoT technical specification (SGP.32). It simplifies and makes accessible eSIM cellular connectivity for IoT devices, ensuring businesses that might not have considered eSIM for IoT business applications are now seriously considering integrating eSIM into their smart, connected workflows.
Before the IoT eSIM Specification: Consumer and M2M
Before the eSIM IoT technical specification, the GSMA had two existing eSIM standards: one for consumers and another for machine-to-machine (M2M). The consumer specifications governed the provision of eSIM connectivity for consumer devices, most notably smartphones. The M2M specifications, meanwhile, were for enterprise applications, to be used with telemetric equipment, sensors, monitors, and other devices designed to automatically and continuously relay information to servers and other machines.
Unfortunately, these specifications were less than ideal for IoT applications. The consumer specifications required devices to pull eSIM profiles. This necessitated a user interface and more power and memory than some IoT devices had. Meanwhile, the M2M specifications pushed profiles onto devices, so they worked great with memory, power or interface-constrained IoT devices. The problem, however, arose with the separation between data preparation and secure routing.
Since secure routing must be configured at the device level, the M2M specifications meant complex integrations between enterprises, device manufacturers and mobile network operators (MNOs). A change in connectivity vendors (say, shifting to a provider with better internet speed) means swapping secure routing configurations at the device level, and this is a lengthy, complicated and costly process.
Consequently, enterprises using eSIM for M2M applications must contend with vendor lock-ins. This meant inflexibility and inability to respond quickly to new opportunities. No wonder enterprises were reluctant to adopt eSIM for business applications.
The IoT eSIM Specifications
The IoT eSIM remote service provisioning architecture and technical specifications eliminate the complex integrations required by M2M specification and make the pull provisioning model available to connected sensors and metres – even power, memory or interface-constrained ones. Indeed, it resolves the issues of using eSIM for M2M business applications and opens up a whole new world of connected, automated services for enterprises worldwide.
Combined Data Preparation and Secure Routing
The IoT eSIM provisioning architecture combines the data preparation and secure routing functions into one platform. This is the way it has always been configured for consumer eSIM devices. As such, deploying eSIM IoT no longer requires complex integrations between device manufacturers and MNOs.
The IoT Remote Manager
The eSIM IoT remote manager (eIM) is an intermediary program that can run on a server, a field-operated computer, or on the cloud, accessible to an app on a mobile device. It removes the burden of provisioning from IoT devices, ensuring even the most constrained M2M sensors and metres can be provisioned with SIM profiles from the eSIM provisioning server. Now, they can even use a discovery service to discover profiles available for download.
The Benefits of eSIM for Enterprises
What are the advantages of eSIM to manufacturers, oil and gas companies, logistics services providers, financial institutions, and other enterprises? The new IoT specifications are expected to become the standard deployment model for future cellular IoT applications because they enhance the benefits embedded modules offer enterprises, including:
- Streamlined cellular IoT device manufacturing processes enabled by the smaller size form factor of embedded modules
- Lower production and distribution costs as the eIM on IoT-embedded modules may be configured in the field instead of at the manufacturing stage and may even be reconfigured as needed
- The convenience and lower expense of over-the-air provisioning, made possible by the push and pull provisioning models enabled by the new IoT specification
- The simplicity of maintaining a single device under a single stock-keeping unit (SKU) instead of maintaining a different SKU for every operator/enterprise user
- Massive IoT implementations (e.g., smart cities) since the new eSIM IoT architecture enables cellular connectivity even for devices with memory, bandwidth, bit-rate, power, and user-interface constraints
- The reliability and assurance that comes from having standards that will ensure the long-term operability (and interoperability) of IoT devices.
To More Cellular IoT Connections
The introduction of the eSIM IoT specifications has made eSIM cellular connectivity more accessible to enterprises. This opens up a whole world of possibilities and benefits. As such, you can expect more enterprises to deploy cellular IoT eSIM in their processes and workflows.
