{"id":18117,"date":"2025-04-14T14:53:30","date_gmt":"2025-04-14T13:53:30","guid":{"rendered":"https:\/\/www.gsma.com\/solutions-and-impact\/technologies\/esim\/?post_type=gsma_theme_resources&p=18117"},"modified":"2025-07-14T17:56:59","modified_gmt":"2025-07-14T16:56:59","slug":"what-next-for-esim-challenges-and-opportunities-in-the-sgp-32-era","status":"publish","type":"gsma_theme_resources","link":"https:\/\/www.gsma.com\/solutions-and-impact\/technologies\/esim\/gsma_resources\/what-next-for-esim-challenges-and-opportunities-in-the-sgp-32-era\/","title":{"rendered":"What next for eSIM? Challenges and opportunities in the SGP.32 era"},"content":{"rendered":"\n

eSIM plays an increasingly critical role in connecting more people and devices – and the SGP.32 specification is a defining factor in this acceleration. There are billions of active connections spanning consumer devices, IoT applications, and enterprise deployments. But how can eSIM accommodate the new applications and technologies of rapidly growing consumer and IoT markets? This was the central theme at MWC’s eSIM Summit, where industry leaders examined enterprise integration and operator strategies.<\/p>\n\n\n\n

Pablo Iacopino, Head of Research and Commercial at GSMA Intelligence<\/a> set the tone by defining the current landscape. \u201c2025 and beyond is what I call scale. So, the technology is available – now is the right time to scale. This will bring opportunities for the ecosystem but also for customers, consumers and enterprises.\u201d He pointed out that although the technology has been available for years, momentum has only recently accelerated. \u201cEvery time we look at the metrics, whether it\u2019s devices with eSIM technology, number of countries, momentum is building.\u201d<\/p>\n\n\n\n

Rudolf Engelsman, VP Products & Marketing IoT at KPN<\/a> explained why the SGP.32 specification is so crucial, calling it \u201cthe next leap in IoT connectivity which will, in my opinion, tap into some of the promises made. For example, the end-to-end RSP spec and consumer eSIM really takes away certain barriers. This means easier, scalable deployments, such as the interoperability, for example, between devices, networks, but also management platforms.\u201d<\/p>\n\n\n\n

Consumer adoption and the shift in global roaming<\/strong><\/p>\n\n\n\n

Consumer adoption has accelerated significantly over the last year. One of the most notable shifts has been in international roaming. According to GSMA Intelligence, awareness of eSIM has doubled in just two years, rising from 25% to 50%. Gregory Gundelfinger, CEO of Telna<\/a>, highlighted the scale of the opportunity, particularly in the travel market. He explained that \u201csilent roamers are accounting for as much as 90% of mobile users. This means that these customers simply do not switch on roaming when they travel.\u201d He pointed to a significant gap in the market, where customers either rely on Wi-Fi or purchase a local SIM rather than using traditional roaming. eSIM changes this dynamic, allowing operators to reclaim lost revenue through seamless onboarding and better pricing structures.<\/p>\n\n\n\n

For mobile operators, this is both an opportunity and a challenge: eSIM provides a path to capturing lost roaming revenue, it also introduces new competition from digital-first MVNOs. Some operators have responded by expanding their eSIM offerings. Singtel, for example, has adapted to this shift by creating a travel-specific eSIM solution. As Benjamin Mazet at Thales<\/a> explained: \u201cthe objective of Singtel was to prevent the queuing that you have at the airport to get your connectivity. They focused on creating a seamless experience from hotel booking straight to connectivity activation.\u201d This is indicative of the power of eSIM and reflects a growing trend among operators to embrace eSIM-first strategies.<\/p>\n\n\n\n

Enterprise and IoT adoption depend on the flexibility SGP.32 enables<\/strong><\/p>\n\n\n\n

While consumer adoption is rising, the broader transformation is happening in enterprise and IoT. Companies managing large fleets of connected devices are already relying on eSIM to ensure seamless connectivity, regardless of location. Daniel Conradsen, Head of Engineering at TrackUnit<\/a>, underscored the necessity of flexibility in global deployments, explaining that \u201cwe are a company that operates on a truly global scale. We manage more than 1,500,000, eSIM connections across multiple countries every day.\u201d The unpredictable nature of global deployments, where devices could end up in remote regions, makes eSIM indispensable. \u201cWhat is very important is that our devices have to work now, tomorrow, and ten years from now, regardless of whatever challenges will emerge over the coming years.\u201d<\/p>\n\n\n\n

For enterprise, the ability to scale connectivity dynamically is essential. Permanent roaming restrictions and compliance with local regulations mean that a single, static roaming agreements are no longer viable. Companies must ensure that devices can switch between networks effortlessly. Conradsen stressed that this is not just about immediate needs but also long-term strategy. \u201cEven if you don\u2019t need it today, what are the risks or hidden costs of not implementing it?\u201d The ability to manage connectivity remotely eliminates the need for costly physical interventions, which can be prohibitive when managing devices across multiple geographies.<\/p>\n\n\n\n

Enterprise favours an ‘SGP.32-first’ approach<\/strong><\/p>\n\n\n\n

As Pablo Iacopino noted, there are four billion IoT connections today, but this is expected to reach six billion by 2030. More than half of these will rely on eSIM and remote SIM provisioning. Lukasz Balczewski of Idemia emphasised that SGP.32 is designed specifically to meet these growing demands. \u201cThe new specification has been developed as a response to the learnings of the past. And, over the last couple of years, the industry has accumulated a lot of knowledge and lessons learned.\u201d He described how it enables faster deployments, lower costs, and greater security, while also preventing vendor lock-in. \u201cCustomers will be offered more choice and flexibility. OEMs will finally be able to work with more connectivity providers, limiting or eliminating the vendor blocking.\u201d<\/p>\n\n\n\n

The automotive industry is one of the sectors moving fastest toward large-scale eSIM adoption. As Balczewski explained, every automotive customer working with Idemia is now testing SGP.32 for deployment in connected vehicles. \u201cWe are providing connectivity services to 5,000,000 devices annually through our remote SIM provisioning solution,\u201d Balczewski stated, pointing to the necessity of remote management capabilities. The ability to update connectivity profiles over the air ensures that vehicles, industrial devices, and logistics operations remain seamlessly connected, regardless of location.<\/p>\n\n\n\n

The road ahead: beyond SGP.32<\/strong><\/p>\n\n\n\n

Cloud-based management is likely to play a central role in this transition. AWS is investing in cloud-native orchestration platforms to streamline global deployments. Ajay Rayne of AWS <\/a>explained that \u201cscalability and flexibility are critical for enterprises adopting eSIM. The ability to orchestrate and manage deployments in the cloud will define success.\u201d The next twelve months will see the industry shift toward widespread implementation, ensuring that eSIM is not just an alternative to physical SIM cards, but the default connectivity solution for a digital-first world.<\/p>\n\n\n\n

Despite its maturity, the full-scale adoption of eSIM still requires alignment across industries. SGP.32 will help enterprise operators, and manufacturers transition to a fully eSIM-driven ecosystem. Adoption may have appeared to have reached a tipping point, but the industry must address technical integration, regulatory considerations, and business model shifts. The challenge is scale\u2014and making sure there’s a good balance of regulation with innovation. But, as G&D<\/a> CEO Philipp Schulte concluded, the industry is on solid footing: \u201cthe technology is in place It\u2019s working. It\u2019s out there, proven and mature.”<\/p>\n","protected":false},"excerpt":{"rendered":"

eSIM plays an increasingly critical role in connecting more people and devices – and the SGP.32 specification is a defining factor in this acceleration. There are billions of active connections spanning consumer devices, IoT applications, and enterprise deployments. But how can eSIM accommodate the new applications and technologies of rapidly growing consumer and IoT markets? 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