Skip to main content

eSIM-Enabled Opportunities for MNOs and Growth Potentials


The embedded SIM (eSIM) ushers in significant changes in the mobile industry. Understanding these changes is crucial to mobile network operations, enabling you to take advantage of eSIM management, eSIM orchestration, and Android entitlement server solutions, as needed, to ensure the eSIM shift will positively impact your operations, profitability, and subscriber experiences.

Opportunities Enabled by eSIM for Network Operators

The extensive opportunities enabled by eSIM for network operators are a result of the recent technological developments, the primary among them being the following.

Become an ICT Services Orchestrator for Enterprise Clients

According to McKinsey, by 2025, the Internet of Things (IoT) could have an economic impact of $12.6 trillion. Mobile network operators are also expected to invest an estimated $650 billion in their 5G network infrastructure between 2022 and 2025. Considering how investing in Dubai properties a lucrative option is, that further intensifies the profitability and impact of IoT.

The Impact of IoT and 5G on Telecommunications

The proliferation of IoT devices and the onset of 5G networks are dramatically reshaping the telecommunications ecosystem.

Network Traffic Volume: The CISCO Annual Internet Report for 2018 to 2023 predicted there would be 29.3 billion network-connected devices by 2023. 5G enables networks to handle this volume, ensuring consistent service quality even in high-demand situations.

Low Latency: 5G promises ultra-reliable, low-latency communication, a feature crucial to many IoT applications. Real-time applications like autonomous vehicle operations and remote surgeries rely on instantaneous data transmission.

Network Slicing: 5G introduces the concept of ‘network slicing’ so MNOs can create multiple virtual networks tailored to specific services or devices. This feature can enable the prioritization of critical IoT applications, fulfilling special bandwidth and latency requirements.

Edge Computing: IoT devices log vast amounts of data, and processing all this data in centralized data centers leads to delays. 5G can support edge computing, enabling data processing closer to the source.

Enhanced Security: As more devices come online, potential vulnerabilities and attack vectors increase. 5G incorporates advanced security protocols that enable more robust security for healthcare, finance, and infrastructure IoT applications.

Essentially, IoT demands a network that can handle vast amounts of data, ensure minimal latency, and offer flexible and secure communication pathways. 5G caters to these requirements, positioning it as the backbone of an IoT-dominated world.

Leveraging IoT and 5G

IoT and 5G represent an opportunity for network operators. You can build your 5G network infrastructure and start offering 5G connectivity to enterprise clients needing clear, stable, low-latency data connection for IoT devices.

However, the real opportunity lies in enterprise ICT services. Bain & Company maintains that the enterprise ICT services market will grow faster at a compounded 5% annual rate between 2022 and 2026 than the enterprise data connectivity market, forecasted to grow at only 2% during the same period.

As technological developments become more complex and, thus, complicated to set up, enterprise clients are more likely to need a single company they can trust to provide them with ICT solutions tailored to their particular business needs. You can become that company.

You can transform yourself into an ICT services orchestrator. Instead of becoming a mere provider of 5G data connectivity services to enable ICT, you can create ICT bundles that enterprises can readily use and integrate into their operations.

For instance, you can provide machine-to-machine (M2M) IoT enablement. It shouldn’t even take a lot to get started. Your 5G networks, coupled with the eSIM, connectivity management, and over-the-air management solutions of an end-to-end M2M modules provider will let you immediately take advantage of the M2M IoT drive to provide readily usable service bundles to enterprise clients.

Expand Subscriber Base

eSIM adoption rates are accelerating globally, with Juniper Research projections indicating an eSIM market size of $16.3 billion in 2027, at a staggering 249% CAGR between 2023 and 2027. There is no doubt that eSIM is taking off. The industry is inevitably moving towards eSIM, and telcos would do well to switch to eSIM connectivity sooner rather than later.


Cloud eSIM Solutions to enable eSIM Subscriptions

Supporting eSIM means integrating new platforms, reworking network infrastructure, and retraining staff. It demands investments both in terms of capital and time.

Instead of putting the different pieces of the eSIM ecosystem together and hoping they work out, you can get eSIM systems orchestrated for you and ready out of the box. Work with a software-as-a-service provider of eSIM cloud solutions to flatten your learning curve, expedite the eSIM integration process, and gain the capabilities you need to support eSIM subscriptions.

Boost Average Revenue per User (ARPU)

As competition intensifies and markets become saturated, it makes better sense for telcos to maximize existing revenue streams by maintaining and enhancing ARPU.  You can use your eSIM provider’s cloud infrastructure to launch OTA campaigns that will induce consumer and enterprise subscribers to avail of more services or upgrade their subscriptions.

Increase ARPU with OTA Campaigns

OTA campaigns allow you to offer real-time, personalized upgrade suggestions directly to your subscribers’ devices, including the following:

Smart Network Switching: Offer an applet enabling devices to intelligently switch to another international mobile subscriber identity (IMSI) as needed. This capability to automate network selection for roaming and redundancy purposes is a service your enterprise clients likely need for their IoT devices.

Personalized Network Name: Allow subscribers to personalize their network names. This does not require additional development on your part, but it can become a paid service that will increase ARPU or an exclusive perk you can offer to your most valuable subscribers.

IoT Security Applet: Offer enterprise clients an IoT security applet they can implement over the air to equip their IoT devices with secure credential management capabilities.

Immediate eSIM Subscription Rollout

An eSIM provider will help you accomplish immediate eSIM subscription rollout by providing support in the following areas.

Profile Development

Create, test, and approve eSIM profiles quickly and with reduced risk. A cloud eSIM provider can cut the time and cost of the eSIM profile creation, testing, and approval cycle.

Profile Delivery

Use pre-assigned criteria to automatically detect, assign, and deliver a suitable eSIM profile to devices. eSIM profiles may also be personalized on demand and at the point of sale.

Profile Management

Streamline profile management processes, including profile approval, activation, and deactivation, and easily set distribution timing and quantities, manage eSIM profiles in bulk, and generate consolidated reports.

Channel Management

Reduce the cost and administrative burden of expanding sales channels to original equipment manufacturers (OEMs) and virtual network operators, aggregators, and enablers with a white-labeled multi-tenant channel management system.

Order Management

Streamline profile order management, prevent stock-outs, and stay on top of operations with automated inventory tracking and notifications.

Profile Value Added Services (VAS)

Provide subscribers with value-added services that will let them personalize their subscriptions.

To Conclude

As eSIM adoption grows, its benefits become more apparent, be it operational efficiency, improved customer experiences, or new revenue streams.  Network operators can take advantage of the opportunities presented by eSIM by working with an enabling eSIM provider.