If you produce smart devices, eSIM technology can help you make international selling more straight-forward. No single operator can provide truly global connectivity, meaning that any manufacturer that wants to deploy their products globally must contract with more than one operator to secure operator-specific SIM cards. Without eSIM, manufacturers must create and maintain separate product lines for each mobile network operator to account for the different SIM cards required, despite the fact that the underlying device itself is exactly the same. eSIM enables single-SKU manufacturing for IoT devices.
Overcome the typical hurdles in providing connected products
A single-SKU manufacturing process is easier to manage and reduces the costs and complexities of multiple product lines. Simultaneously managing large numbers of SKUs creates costly inefficiencies in management, production runs, sales forecasting, inventory management, and supply chain fragmentation.
This can negatively impact engineering, production, quality, finance, and operational departments. eSIM removes the need to design, make, stock, ship, track, repair or replace multiple variations of what is effectively the same device.
Global reach is key for a manufacturer to win in their market. eSIM provides the necessary agility and reduces the barriers to worldwide coverage, which means that entering a new geography no longer requires a new product and new inventory. If the manufacturer decides to target a new territory, existing products can be deployed in that region immediately.
Embedding a reprogrammable eSIM also means that one distribution model can apply across many borders and use cases. Instead of contracting with region-specific distributors or resellers, the manufacturer can supply a global distributor or major chain, ultimately saving costs by limiting the distribution channels used and increasing average deal size.
MNOs also come with their own management platform. If the device is sold to ‘just work’, the SIM must be activated prior to being sold. Activation of the operator-specific SIM is limited to the platform provided by the operator, placing an administrative burden to selling internationally.
As a shipment travels from port to depot to final destination, a smart tracking device may power on, send location or environmental data, then power off again, connecting to a range of networks in order to complete its task. A purpose built IoT platform for global device connectivity excels over traditional MNO solutions by consolidating visibility and management of devices, which are connected to multiple operators, into a single view.
At the same time, the choice of eSIM improves the buyer’s experience, rather than limiting it. eSIM programmability gives the end user more flexibility and more choices for connectivity. Users have complete freedom to change the operational location of the device at a later date, regardless of its intended location.
eSIMs can change operator or network as many times as is required. Operators’ offerings change over time – 2G networks are currently being sunsetted, and 5G networks are becoming more widespread. eSIMs allow manufacturers to provide future-proofed devices, alleviating customer concerns when investing in global IoT deployments.
Manufacturers operate more profitably while also increasing the opportunity to sell large volumes of devices globally.
Learn more about how eSIM empowers innovation on Pelion.com.
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