Prediction: When Will eSIM Surpass Physical SIM?

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If you’re reading this, you probably use a mobile phone and are familiar with physical SIM cards. However, there’s a potentially more convenient alternative that’s getting more popular among consumers and manufacturers alike, and that’s eSIM. The shift from physical SIMs towards eSIMs represents a significant move forward in mobile technology. Here’s what you need to know about the rising adoption of eSIMs:

What Is an eSIM?

eSIM is an acronym for embedded SIM. It can also be called the technical name eUICC (Embedded Universal Circuit Card). An eSIM is simply a virtual SIM card that’s built into a phone. With an eSIM, you don’t need a physical card to connect with mobile networks, and you can connect to any mobile network as long as it offers eSIM services. They are programmed into the device’s motherboard and can be reprogrammed whenever you switch to a new carrier or plan. Many new mobile devices now support eSIMs, including the new iPhone 15.

How Does It Work?

In theory, using an eSIM may seem a bit daunting. However, it’s quite easy to set up and use.

The first thing you need to do is download an eSIM profile. Depending on the network provider and your device, you may need to do this through an app or by scanning a QR code. If your device has an in-built eSIM, it’ll provide you with options to configure your eSIM. This should include options that let you switch between carriers and plans. Then, you can choose your preferred eSIM plan.

Some devices support dual SIMs, which means their eSIMs may also support multiple accounts. You can also have an eSIM and a physical SIM on some devices. You just switch between both networks in your settings. 

Why eSIMs Are Taking Over

eSIMs are becoming increasingly popular for certain benefits that they offer over physical SIMs, and some include:

 Storing multiple network profiles: With an eSIM, you can simultaneously store multiple network profiles on your phone. This is particularly useful for those who travel often and may need to switch between local mobile networks as they reach new destinations. eSIMs make the process more seamless and eliminate the need to buy and install new physical SIM cards in each location.

  • Enhanced security and durability: Since there’s no physical chip, eSIMs are practically tamper-proof. There’s no risk of damage or loss, and due to its programmable nature, there’s less potential for fraud and unauthorized access to the network. 
  • Coverage: With an eSIM, you can temporarily change to a different network for better coverage.
  • Less space usage: With eSIMs, phones may use less space, which may increase the phone’s battery size or additional useful features. 

When Will eSIMs Surpass Physical SIMs?

eSIMs have been in existence since 2016. A significant increase in the development of eSIM-capable devices by manufacturers like Apple and Samsung, according to Forbes, shows a rise in eSIM adoption. There are now several websites dedicated to tracing and writing about the growth and adoption of eSIMs, including Roami.ng and Roamless.

In an interview with The National News, Ankit Malhotra, a senior research analyst at Counterpoint, a global technology research firm, predicted that over six billion eSIM-capable devices are expected to be shipped by 2026. According to him, the elimination of the physical SIM card slot in Apple’s iPhone 14, the US version, in 2022 was a turning point in the adoption of eSIMs.

However, while many devices now support eSIMs, physical SIM card slots are still prevalent in smartphones. Customer usage and awareness are quite slow, and the adoption of eSIM technology is still mainly visible in the premium smartphone market. 

But just like 5G, eSIM technology is on the path to becoming the new normal for mobile network users. A report by GSMA intelligence predicts that up to 76% of smartphones will support eSIMs by 2030. As more major mobile device markets adopt eSIMs, more manufacturers will be compelled to integrate eSIM technology into their new devices and ensure a seamless experience for their users.

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Andy Jacob, Founder and CEO of The Jacob Group, brings over three decades of executive sales experience, having founded and led startups and high-growth companies. Recognized as an award-winning business innovator and sales visionary, Andy's distinctive business strategy approach has significantly influenced numerous enterprises. Throughout his career, he has played a pivotal role in the creation of thousands of jobs, positively impacting countless lives, and generating hundreds of millions in revenue. What sets Jacob apart is his unwavering commitment to delivering tangible results. Distinguished as the only business strategist globally who guarantees outcomes, his straightforward, no-nonsense approach has earned accolades from esteemed CEOs and Founders across America. Andy's expertise in the customer business cycle has positioned him as one of the foremost authorities in the field. Devoted to aiding companies in achieving remarkable business success, he has been featured as a guest expert on reputable media platforms such as CBS, ABC, NBC, Time Warner, and Bloomberg. Additionally, his companies have garnered attention from The Wall Street Journal. An Ernst and Young Entrepreneur of The Year Award Winner and Inc500 Award Winner, Andy's leadership in corporate strategy and transformative business practices has led to groundbreaking advancements in B2B and B2C sales, consumer finance, online customer acquisition, and consumer monetization. Demonstrating an astute ability to swiftly address complex business challenges, Andy Jacob is dedicated to providing business owners with prompt, effective solutions. He is the author of the online "Beautiful Start-Up Quiz" and actively engages as an investor, business owner, and entrepreneur. Beyond his business acumen, Andy's most cherished achievement lies in his role as a founding supporter and executive board member of The Friendship Circle-an organization dedicated to providing support, friendship, and inclusion for individuals with special needs. Alongside his wife, Kristin, Andy passionately supports various animal charities, underscoring his commitment to making a positive impact in both the business world and the community.