Global eSIM Market to Reach US$5.8 Billion by 2030

The global market for eSIM estimated at US$952.3 Million in the year 2023, is expected to reach US$5.8 Billion by 2030, growing at a CAGR of 29.4% over the analysis period 2023-2030. M2M, one of the segments analyzed in the report, is expected to record a 28.6% CAGR and reach US$1.8 Billion by the end of the analysis period. Growth in the Smartphones segment is estimated at 31.9% CAGR over the analysis period.

The U.S. Market is Estimated at US$278.2 Million While China is Forecast to Grow at 33.0% CAGR

The eSIM market in the U.S. is estimated at US$278.2 Million in the year 2023. China, the world`s second largest economy, is forecast to reach a projected market size of US$445.0 Million by the year 2030 trailing a CAGR of 33.0% over the analysis period 2023-2030. Among the other noteworthy geographic markets are Japan and Canada, each forecast to grow at a CAGR of 25.3% and 26.8% respectively over the analysis period. Within Europe, Germany is forecast to grow at approximately 28.5% CAGR.

Global eSIM Market - Key Trends & Drivers Summarized

eSIM, or embedded SIM, represents a significant evolution in SIM card technology, offering a new level of flexibility and convenience for mobile connectivity. Unlike traditional SIM cards, which are physical cards inserted into a device, eSIMs are embedded directly into the device`s hardware during manufacturing. This integration allows for remote provisioning and management of mobile network profiles, eliminating the need for physical SIM swaps. Users can switch between different network operators or plans seamlessly through software settings, making eSIMs particularly advantageous for travelers, businesses, and IoT applications. The adoption of eSIM technology is rapidly growing in smartphones, tablets, smartwatches, and other connected devices, driven by its ability to simplify connectivity and enhance user experience.

Technological advancements have played a crucial role in the development and deployment of eSIMs. The standardization of eSIM technology by the GSMA has facilitated widespread adoption and interoperability across different devices and network operators. Advanced security features, such as remote SIM provisioning and secure element integration, ensure that eSIMs provide robust protection against unauthorized access and cyber threats. Furthermore, the miniaturization of electronic components has enabled the incorporation of eSIMs into compact devices, supporting the growth of wearables and other small IoT devices. eSIM technology also supports multiple profiles, allowing users to have separate profiles for personal and business use or for different regions, further enhancing its versatility and appeal.

The growth in the eSIM market is driven by several factors. The increasing adoption of IoT devices, which require reliable and flexible connectivity solutions, is a significant driver, as eSIMs offer an ideal solution for managing multiple devices efficiently. The growing demand for connected cars and smart city applications is also propelling the market, as eSIMs enable seamless connectivity and management for a multitude of devices and sensors. Technological advancements in mobile devices and network infrastructure are making eSIMs more accessible and practical, encouraging their integration into a broader range of products. Additionally, the rising consumer demand for flexible and convenient connectivity options, combined with the benefits of streamlined logistics and reduced environmental impact from eliminating physical SIM cards, is further boosting the market. Together, these factors are fostering a dynamic and expanding market for eSIM technology, presenting significant opportunities for innovation and growth in the telecommunications industry.