The rapid rise of connected devices across industries has brought new complexities to device management and connectivity in the IoT space. Manufacturers and service providers today face escalating demands for simple, secure, and cost-effective connectivity solutions that can adapt to differing regulatory environments. With eSIM technology, device manufacturers are better equipped to offer scalability and flexibility, addressing issues ranging from logistics and compliance to ongoing management of devices deployed in the field.
Earlier articles on the topic often pointed to initial challenges in eSIM adoption, such as interoperability limitations and slow regulatory acceptance in key sectors. While the automotive industry drove early eSIM innovation primarily for machine-to-machine needs, recent advances, especially the introduction of specifications like SGP.32 and provisioning processes like IFPP, have expanded eSIM applicability. Market reports now indicate increased eSIM deployment in non-automotive IoT verticals and more streamlined processes for remote SIM provisioning and lifecycle management. Notably, the latest discussions emphasize profile management flexibility and integration with private 5G networks, reflecting ongoing shifts in enterprise connectivity strategies.
How Does SGP.32 Shape Future Connectivity?
The transition from SMS-based SGP.02 to the IP-supported SGP.32 standard provides a significant leap for IoT device management. Devices using SGP.32 benefit from more efficient, lifecycle-wide management protocols and easier compliance with regional network and regulatory requirements. This upgrade helps manufacturers centralize management for both legacy and new IoT fleets, optimizing operational workflows and ensuring smoother connectivity transitions as device deployments scale globally.
What Role Does IFPP Play in eSIM Adoption?
Bringing together In-Factory Profile Provisioning (IFPP) and Remote SIM Provisioning (RSP) simplifies device onboarding and cutover to live operation. IFPP allows eSIM profiles to be installed directly during manufacturing, avoiding after-market provisioning efforts and reducing manual configuration. Through RSP, companies can remotely update or switch device profiles once deployed, reducing the logistical burden and accommodating changes in network providers or geographic coverage requirements.
How Do eSIM Solutions Affect Security and Cost for IoT?
eSIM technology leverages global cellular standards, providing increased security and adaptability compared to Wi-Fi and Bluetooth alternatives, which tend to suffer from varying regional regulations and limited scalability. Major brands like Giesecke+Devrient (G+D) have responded with solutions such as AirOn360 Intelligent Online, designed to enable time-limited cellular connectivity and help enterprises optimize data costs. The integration of eSIMs in product design also decreases reliance on physical inventory and reduces hardware costs, since devices no longer require SIM card slots or region-specific models.
Industry representatives highlight a wide range of use cases made possible by eSIM’s introduction. Soenke Schroeder from G+D emphasizes,
“eSIMs also provide a high degree of flexibility and are network-agnostic, meaning that IoT devices can switch providers multiple times over their lifetime.”
He also adds,
“Key advantages include digitalization of workflows, greater efficiency, cost savings, and enhanced security.”
These features align with evolving demands for both public and private 5G networks, allowing IoT devices to transition easily between connectivity solutions as conditions require.
Widespread adoption of eSIM technology marks an important phase in the maturity of IoT connectivity management. By replacing physical SIM cards with remotely manageable, embedded solutions, companies gain new flexibility in device lifecycle operations and reduce logistical complexities. The emergence of standards like SGP.32 and the deployment of IFPP reflect a broader industry shift toward seamless, scalable, and secure connectivity. It remains important for organizations to assess compatibility with both established and emerging standards, particularly as private 5G deployment accelerates. Companies evaluating eSIM adoption should consider total cost of ownership, regulatory requirements across markets, and their ability to remotely manage large fleets as they expand connectivity strategies.