Global Embedded Subscriber Identity Module (E-SIM) Market – Industry Trends and Forecast to 2029

Global Embedded Subscriber Identity Module (E-SIM) Market, By Application (Connected Cars, Laptops, M2M, Smartphones, Tablets, Wearables, Others), Vertical (Automotive, Energy & Utilities, Manufacturing, Retail, Consumer Electronics, Transportation and Logistics) – Industry Trends and Forecast to 2029

Market Analysis and Size

Machine-to-machine (M2M) connections, which include simple and smooth mobile connections for all types of linked devices, depend heavily on the embedded subscriber identity module (E-SIM) card. A requirement for M2M is the pervasive networking of devices across geographical regions. Embedded SIM runs in a controlled and secure environment and eliminates the inconvenience of switching service providers, which increases operational efficiency. The most recent embedded subscriber identity module (E-SIM) cards provide verified profile compatibility and a main platform for the participants to collaborate on an equal playing field. As a result, the market is anticipated to grow largely.

Global embedded subscriber identity module (E-SIM) market was valued at USD 2.70 billion in 2021 and is expected to reach USD 19.21 billion by 2029, registering a CAGR of 27.80% during the forecast period of 2022-2029. In addition to the market insights such as market value, growth rate, market segments, geographical coverage, market players, and market scenario, the market report curated by the Data Bridge Market Research team includes in-depth expert analysis, import/export analysis, pricing analysis, production consumption analysis, and pestle analysis.

Report Scope and Market Segmentation

Market Definition

Embedded subscriber identity module (E-SIM) is basically a smart device that helps change the operator by updating the software settings. It is a little chip that the user places on their device to verify their identification to their carrier. As it supports many accounts, enables switching between different mobile network operators (MNOs), and manages accounts by simply updating the software settings from the user's mobile phone, eSIM is clever in terms of functionality.

Embedded Subscriber Identity Module (E-SIM) Market Dynamics

This section deals with understanding the market drivers, advantages, opportunities, restraints and challenges. All of this is discussed in detail as below:

Drivers

• Increasing Adoption of Wearable Electronics

The embedded subscriber identity module industry is expanding as a result of the rising demand for smart devices. These programmable technologies are being incorporated with a number of intelligent gadgets, such as smartwatches and fitness bands, to assist them in connecting with the cellular infrastructure. The device can be thinner and lighter because the chips take up less room. This enables the producers to employ the area for adding more technological features and capabilities to their electronic goods. The users can send and receive text messages, calls, and fitness data consultations, reading emails, receiving notifications, navigating, and browsing social networks, all of which present significant market potential.

• Surging Improvements within the Module

The embedded SIMs demands account registration when switching to a new device so that it could seamlessly update the prior number and information. The most recent version of the GSMA has increased the flexibility with which mobile network operators and original equipment manufacturers (OEMs) conduct business in the future. These improvements further boosts the demand for the embedded subscriber identity module (E-SIM) over the forecast period.

Furthermore, the increase in disposable income and the adoption of mobile computing devices further fuel market growth. The increasing demand for e-SIM solutions for M2M (Machine2Machine) applications is projected to be the most significant factor driving the growth for this market. The embedded subscriber identity module (E-SIM) has a wide range of uses, including in connected cars, wearable technology, tablets, laptops, smartphones, and M2M. Moreover, the growing trend for wearable electronics also cushions the market’s growth within the forecasted period. The availability access to technologies also acts as a market driver.

Opportunities

• Favorable Policies and Development of Technologies

The government's favorable policies in promoting M2M communication are estimated to generate lucrative opportunities for the market, which will further expand the embedded subscriber identity module (E-SIM) market's growth rate over the forecast period. Additionally, the global eSIM market is anticipated to develop as IoT (Internet of Things) devices and technology are increasingly adopted across a variety of industrial verticals, including retail, energy, and automotive, which will also offer numerous growth opportunities within the market.

Restraints/Challenges

• Network Issues

The gadget requires the network to work as network support is necessary for embedded subscriber identity module (E-SIM). Therefore, the network issues create hurdles for the market, which restrains expansion.

• Security and Private Concerns

The worldwide embedded subscriber identity module (E-SIM) market is seriously threatened by the increase in privacy and security concerns that are pervasive in many industries. These security and privacy issues further create various concerns amongst the consumers. This factor poses as a challenge for the embedded subscriber identity module (E-SIM) market over the forecast period.

This embedded subscriber identity module (E-SIM) market report provides details of new recent developments, trade regulations, import-export analysis, production analysis, value chain optimization, market share, impact of domestic and localized market players, analyses opportunities in terms of emerging revenue pockets, changes in market regulations, strategic market growth analysis, market size, category market growths, application niches and dominance, product approvals, product launches, geographic expansions, technological innovations in the market. To gain more info on the embedded subscriber identity module (E-SIM) market contact Data Bridge Market Research for an Analyst Brief, our team will help you take an informed market decision to achieve market growth.

COVID-19 Impact on Embedded Subscriber Identity Module (E-SIM) Market

The embedded subscriber identity module (E-SIM) market was immensely impacted by the outbreak of COVID-19. With almost 80% of SIM card shipments going to the smartphone market prior to COVID-19, it should not be surprising that the first half of 2020 was difficult. This was because the market for detachable SIM cards was already in decline. In particular during 1H 2020, COVID-19 has had a disastrous impact on the global devices market and will continue to do so. It will cause significant disruptions to production lines, associated supply chains, labour shortages, and inactive logistics, delay shipments, and hinder the development of next-generation products.

However, the lockdown and world from home methods have raised the need for tablets, laptops, smartwatches, and smartphones, the advent of COVID-19 is anticipated to present companies in the global eSIM market with lucrative potential opportunities.

Recent Developments

• In April 2020, Tata Communication and Infineon Technologies introduced an eSIM solution for IoT hardware and software. Instead of needing to supply customised versions for individual areas, the eSIM enables manufacturers to deliver goods suitable for usage across the globe.
• In October 2020, The KORE Connectivity Management Platform (CMP) and KORE Wireless have introduced eSIMPro, a self-service device validation application that performs technical tests to verify that a device can function in an eSIM context.

Global Embedded Subscriber Identity Module (E-SIM) Market Scope

The embedded subscriber identity module (E-SIM) market is segmented on the basis of application and vertical. The growth amongst these segments will help you analyze meagre growth segments in the industries and provide the users with a valuable market overview and market insights to help them make strategic decisions for identifying core market applications.

Application

• Connected Cars
• Laptops
• M2M
• Smartphones
• Tablets
• Wearables
• Others

Vertical

• Automotive
• Energy and Utilities
• Manufacturing
• Retail
• Consumer Electronics
• Transportation
• Logistics

Embedded Subscriber Identity Module (E-SIM) Market Regional Analysis/Insights

The embedded subscriber identity module (E-SIM) market is analyzed and market size insights and trends are provided by country, application and vertical as referenced above.

The countries covered in the embedded subscriber identity module (E-SIM) market report are U.S., Canada and Mexico in North America, Germany, France, U.K., Netherlands, Switzerland, Belgium, Russia, Italy, Spain, Turkey, Rest of Europe in Europe, China, Japan, India, South Korea, Singapore, Malaysia, Australia, Thailand, Indonesia, Philippines, Rest of Asia-Pacific (APAC) in the Asia-Pacific (APAC), Saudi Arabia, U.A.E, Israel, Egypt, South Africa, Rest of Middle East and Africa (MEA) as a part of Middle East and Africa (MEA), Brazil, Argentina and Rest of South America as part of South America.

Asia-Pacific dominates the embedded subscriber identity module (E-SIM) market during the forecast period of 2022 to 2029 because of the increasing demand of smartphones along with adoption of internet of things technology within the region.

North America is expected to witness significant growth during the forecast period of 2022 to 2029 due to the favorable government regulations boosting M2M communication in the region.

The country section of the report also provides individual market impacting factors and changes in regulation in the market domestically that impacts the current and future trends of the market. Data points like down-stream and upstream value chain analysis, technical trends and porter's five forces analysis, case studies are some of the pointers used to forecast the market scenario for individual countries. Also, the presence and availability of global brands and their challenges faced due to large or scarce competition from local and domestic brands, impact of domestic tariffs and trade routes are considered while providing forecast analysis of the country data.   

Competitive Landscape and Embedded Subscriber Identity Module (E-SIM) Market Share Analysis

The embedded subscriber identity module (E-SIM) market competitive landscape provides details by competitor. Details included are company overview, company financials, revenue generated, market potential, investment in research and development, new market initiatives, global presence, production sites and facilities, production capacities, company strengths and weaknesses, product launch, product width and breadth, application dominance. The above data points provided are only related to the companies' focus related to embedded subscriber identity module (E-SIM) market.

Some of the major players operating in the embedded subscriber identity module (E-SIM) market are

• Thales (France)
• STMicroelectronics (Netherlands)
• Infineon Technologies AG (Germany)
• Giesecke+Devrient Mobile Security GmbH (Germany)
• NTT DOCOMO (Japan)
• Sierra Wireless (Canada)
• Orange Business Services (France)
• SAMSUNG (North Korea)
• Telenor Group (Sweden)
• Telit (U.S.)
• Airtel (India)
• Reliance Jio Infocomm Ltd (India)
• Singapore Telecommunications Limited (Singapore)
• Deutsche Telekom AG (Germany)
• NXP Semiconductors NV (Netherlands)
• Vodafone Group Plc (U.K.)