eSIM and Its Future in Indian Market

eSIM stands for embedded subscriber identification module  (SIM). So eSIMs are basically integrated inside smart devices. Unlike regular SIM cards, you cannot take out an eSIM, or to be very specific, you won’t need to take it out. On the other hand, contrasting to regular SIM cards, you will not need to replace eSIMs whenever you decide to change your phone numbers. All you have to do is simply intimate the operator and follow some simple steps from jump from one carrier to another. eSIMs also support numerous applications unlike regular SIMs. What's more, embedded SIM cards can be modified on the basis of your requirements remotely.

So subscribers can make use of the eSIM to activate a mobile tariff plan without having to procure a physical SIM like we do today. Mobile Number Portability (MNP), which lets consumers to alter carriers without changing numbers, will turn out to be even easier with eSIM. An eSIM, on the whole, is a small chip inside your phone. It works in a similar method to the NFC chip which is used for payment tech like Google Pay and Apple Pay. In the positive aspect, the information on an eSIM is rewritable. This means, you may choose to change your mobile operator with a just simple phone call.

Ever pondered how does your Apple Watch take call without being connected to your iPhone? Yeah, you guessed that right. It’ the SIM card embedded inside it. In Apple’s case, this eSIM or embedded SIM card, works as an extension of the SIM you already have inside your iPhone. It permits the watch to stay connected to a cellular network and, therefore, to the internet—even without the phone.

Although Apple may have brought eSIMS to our observation by using them in iPads and iPhones, these little chips can, in fact, perform much more. For example, the MG Hector, one of the first connected SUVs in its segment, makes use of embedded SIMs (eSIM) for its connectivity features. The 50+ connected features that MG offers for the Hector are more or less entirely driven by the eSIM inside, which enables the car stay connected to the internet.

Although eSIMs have not been activated in India so far, Google too has used eSIMs on the Pixel smartphones. While Apple utilized eSIMs in iPads, iPhones and Apple Watches, automobile companies like MG and Hyundai utilized eSIMs to facilitate connected features on their vehicles. BlueLink system by Hyundai runs on an eSIM as well.

In India, Reliance Jio and Airtel have already joined hands with Apple to sell eSIM enabled Apple Watches. To talk about the present, eSIM penetration in India is less than 1%. However, by 2025, this number is expected to grow to 25%. Internationally, the eSIM market in the year 2023 is likely to grow up to $978.3 million from $253.8 million in 2018. So considering the above market-potentials concerning eSIMs in India, it can be said that it eSIMs would be a boon for the customers while it could be a bane for the operators since they have to work hard to bring customers under their network.