A new study by Juniper Research, reports that the embedded SIM market is expected to increase from about $4.7 billion in the year 2023 to $16.3 billion by 2027, representing 249% growth during the period.
The total number of smartphones that use eSIM will jump from about 986 million in 2023 to 3.5 billion by 2027, Juniper reports.
The analyst firm say that eSIM-enabled consumer devices, like Apple’s eSIM-only iPhone 14, will trigger increased operator acceptance of the technology. It also predicts that Apple “will expand deployment of eSIM-only devices to Europe during 2023, with eSIM technology key to [minimizing] the time-consuming establishment of roaming agreements within the fragmented European telecommunications market.”
Elon Musk Sets Guinness World Record as Net Worth Shrinks by $182 Billion
IBM Australia Reaches Five-Year $725 million Agreement with Digital Transformation Agency
Google Plans to Charge 16% VAT on Taxable Goods and Services In Kenya
Apple competitors such as Google and Samsung will develop eSIM-only Android devices to stay competitive and maintain global market positioning, Juniper added.
“Despite operator concerns regarding the disruptive impact of eSIMs on existing business models, growing support from smartphone manufacturers will place additional pressure on operators. In response, service providers must support eSIM connectivity to avoid subscriber attrition as technology awareness increases,” said Scarlett Woodford, author of the research.
China and India are expected to account for about 25% of smartphones that use eSIM by 2027, with the United States making up about 10% of the projected smartphone eSIM market. But, Juniper notes, that depends on the tech being developed to the satisfaction of the Chinese government, which currently does not allow its domestic device manufacturers to sell eSIM devices in their home market because eSIM does not allow the level of device monitoring and tracking required by the Chinese government. Juniper said that growth of eSIM in China will depend on country-specific standards being implemented.