India’s eSIM Adoption Slows Despite Global Momentum

India’s eSIM adoption remains slow due to cost, policy, and device gaps, though industrial IoT shows promise as eSIM and iSIM technologies gain global traction

As global telecom and IoT ecosystems steadily move toward embedded connectivity, India eSIM adoption remains gradual. While embedded SIM (eSIM) and integrated SIM (iSIM) technologies offer clear benefits—flexibility, scalability, and lower environmental impact—India’s path toward large-scale deployment faces multiple challenges, says Sachin Arora, Head of Connectivity & IoT for India at Giesecke+Devrient (G+D).

What Makes eSIM and iSIM Game-Changers

According to Arora, eSIM (embedded SIM) and iSIM (integrated SIM) are transforming how devices connect to mobile networks. Unlike traditional SIM cards that need manual insertion, eSIMs can be remotely activated or switched between carriers, while iSIMs go a step further by integrating SIM functionality into the chipset itself.

“The shift is significant for IoT and industrial use cases where devices operate in remote or large-scale deployments,” Arora says. “It simplifies lifecycle management and reduces the need for physical interventions.”

However, he points out that India eSIM adoption is still more form-factor-driven than functionally different, as the SIM’s primary role in authentication and network access remains the same.

Apple’s eSIM-Only Strategy Highlights India’s Readiness Gap

Apple’s decision to go eSIM-only in certain markets has accelerated the global transition, but it also underscores India’s ecosystem limitations. Arora notes that most eSIM-capable smartphones fall in the premium segment above ₹20,000, while the majority of Indian smartphone sales occur below that range.

“The market is still heavily Android-based, and most mid-tier models do not yet support eSIM,” he adds. Until affordability improves and original equipment manufacturers (OEMs) redesign their supply chains for eSIM-ready devices, India eSIM adoption will likely remain niche.

Industrial and IoT Use Cases Lead the Way

Despite slow consumer adoption, industrial and machine-to-machine (M2M) applications show stronger potential. Arora highlights that eSIM simplifies logistics for global deployments—devices designed in India can be activated anywhere by downloading a local operator profile.

He suggests regulators could initially encourage eSIM use in industrial sectors, where interoperability and export advantages are more apparent.

Balancing Sustainability and Cost

From an environmental standpoint, G+D promotes eSIM and iSIM as part of its push for “logistics-free provisioning.” Eliminating physical SIM cards reduces plastic waste and carbon emissions. However, Arora cautions that sustainability alone cannot drive adoption. “Unless eSIM-enabled phones reach the mass market and prices drop, the green benefits remain theoretical,” he says.

Security and Policy Support Needed

Security remains a key advantage of eSIM technology. Governed by GSMA standards, eSIMs feature tamper-resistant designs and encrypted subscription management. Yet, consumer awareness remains low. “Many users still prefer physical SIMs because of familiarity,” Arora says.

Policy support, cost reduction, and stronger collaboration between network operators, OEMs, and regulators will be essential to accelerate India eSIM adoption. Arora believes standardization frameworks like GSMA’s SGP32 will be vital for scaling securely and efficiently.

The Road Ahead

While G+D continues developing next-generation connectivity solutions, Arora expects the evolution to take time. “The SIM’s core purpose will stay the same—it’s how it’s embedded, managed, and scaled sustainably that will define the future,” he concludes.

With iSIM still in its infancy and affordability gaps persisting, India eSIM adoption is poised to grow—but gradually. The technology may be ready, but the ecosystem still has catching up to do.