# Embedded Sim Market

> Embedded SIM Market Size, Share and Research Report By Network Type (5G, 4G/LTE, and NB-IoT / LTE-M), By Device Type (Smartphones, Tablets and Laptops, Wearables, and M2M/IoT Modules), By End-User Industry (Consumer Electronics, Automotive and Transportation, Industrial and Manufacturing, Logistics and Asset Tracking, Energy and Utilities, and Healthcare and Wearables), By Form Factor (MFF2, Wafer-Level CSP, and Plug-In eSIM), By Provisioning Specification (SGP.02 (M2M), SGP.22 (Consumer), and SGP.32 (IoT)) And By Region (North America, Europe, Asia-Pacific, And Rest Of The World) – Industry Forecast Till 2035

- **Forecast Period:** 2026-2035
- **CAGR:** 24.7%
- **2025:** USD 0.92 Billion
- **2035:** USD 8.40 Billion
- **Key Players:** Thales Group, Giesecke+Devrient, IDEMIA Secure Transactions, Infineon Technologies, STMicroelectronics, NXP Semiconductors, Qualcomm Technologies, Kigen

**Report ID:** MRFR/ICT/40694-HCR · **Pages:** 200 · **Author:** Nirmit Biswas & Garvit Vyas · **Last Updated:** September 30, 2026

**URL:** https://www.marketresearchfuture.com/reports/embedded-sim-market-42359

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## Market Summary

## Embedded Sim Market Summary

The Embedded Sim Market was valued at USD 0.92 Billion in 2025. It is forecast to reach USD 1.15 Billion in 2026 and USD 8.40 Billion by 2035, a CAGR of 24.7% over 2026–2035. Unit shipments are expected to approach 0.70 billion in 2026. Two catalysts anchor this trajectory. The first is GSMA's SGP.32 specification, which simplifies profile management for constrained IoT devices [2]. The second is the handset industry's move to eSIM-only designs, which began with U.S. iPhone models in 2022 and went global with the iPhone Air in 2025 [9][10].

Physical plastic SIM cards and factory-locked, single-operator M2M profiles are being replaced by soldered eUICC hardware, integrated SIM (iSIM) cores built into modem chipsets, and cloud-hosted remote SIM provisioning servers. Regulation is speeding up the shift. The EU's eCall mandate has required embedded cellular connectivity in every new type-approved car since March 2018 [6]. UN-R155 extended mandatory cybersecurity management to all new vehicles registered in the EU from July 2024 [7].

North America leads the Embedded Sim Market with a 36.4% share in 2025, supported by carrier backing for eSIM-only handsets and mature connected-car programs. Asia-Pacific is the fastest-growing region at a 27.9% CAGR, as nationwide operator eSIM launches expand the addressable handset base [21]. Europe ranks second, driven by eCall, smart-meter rollouts, and the Cyber Resilience Act [8]. Over the next decade, growth will shift from handsets toward vehicles, industrial sensors, and wearables.

## Key Report Takeaways

### • By Network Type

- 4G/LTE held a 48.5% share of the Embedded Sim Market in 2025, reflecting the large installed base of LTE handsets and LTE-M sensors.
- 5G is projected to expand at a 25.1% CAGR as standalone cores enable network slicing and dynamic profile switching.

### • By Device Type

- [Smartphones](https://www.marketresearchfuture.com/reports/smartphone-market-8165) accounted for 56.2% of 2025 shipments, although growth in the category is slowing toward replacement cycles.
- Wearables lead device growth at a 25.0% CAGR, driven by cellular health monitors and smartwatches.

### • By End-User Industry

- Consumer Electronics captured 41.8% of the Embedded Sim Market in 2025.
- Automotive and Transportation is set to grow at a 25.3% CAGR on eCall and UN-R155 compliance.

### • By Form Factor

- MFF2 packages held a 66.2% share of 2025 volume because of their vibration and temperature tolerance.
- Wafer-Level CSP is the fastest-growing package at a 27.4% CAGR as thin devices prioritize board space and battery life.

### • By Provisioning Specification

- SGP.22 (Consumer) led with a 58.7% share, anchored by smartphone and tablet activations.
- SGP.32 (IoT) is forecast to scale at a 38.6% CAGR from a small base.

### • By Region

- North America held a 36.4% share in 2025.
- Europe generated USD 0.25 Billion in 2025.
- Asia-Pacific is projected to grow at a 27.9% CAGR.

## Market Size and Forecast (2021–2035)

Market Research Future sized the Embedded Sim Market by multiplying eUICC and iSIM unit shipments by blended average selling prices. These prices combine secure-element hardware with secure-OS and profile-management licence revenue. Shipment estimates were triangulated against supplier disclosures [11], GSMA Intelligence connection statistics [4], operator activation data, and more than 40 primary interviews with chipset vendors, module makers, and connectivity platforms. Figures for 2021–2024 are reconciled historical estimates. Values for 2026–2035 are forecasts built on device-level adoption curves and declining unit prices.

## Market Drivers

## Driver Impact Analysis

| Driver | ~% Impact on CAGR | Geographic Relevance | Impact Timeline | Ref |
| --- | --- | --- | --- | --- |
| eSIM-Only Smartphone Designs | +4.6% | North America, Europe, Asia-Pacific | Short-term (≤2 yr) | [9][10][24] |
| SGP.32 IoT Specification Adoption | +3.9% | Global | Medium-term (2–4 yr) | [2] |
| Automotive Connectivity and Cybersecurity Mandates | +3.6% | Europe, North America | Medium-term (2–4 yr) | [6][7] |
| 5G Standalone Cores and Network Slicing | +3.1% | Asia-Pacific, North America | Long-term (≥4 yr) | [5] |
| Smart Metering and Utility Digitization | +2.2% | Europe, Asia-Pacific | Long-term (≥4 yr) | [18] |
| Remote Patient Monitoring and Cellular Wearables | +1.9% | North America | Medium-term (2–4 yr) | [17] |
| Travel and Roaming eSIM Services | +1.7% | Global | Short-term (≤2 yr) | [23] |

### eSIM-Only Smartphone Designs

In September 2022, Apple eliminated the physical SIM tray from the iPhone 14 models sold in the United States. In September 2025, the iPhone Air introduced the eSIM-only design globally [9][10]. Around 12 million eUICCs are moved for every percentage point of eSIM-only penetration, while global smartphone shipments reached approximately 1.24 billion units in 2024 [24]. In flagship tiers, Android OEMs come next. In response, carriers have reduced retail SIM [logistics](https://www.marketresearchfuture.com/reports/logistics-market-5076) and shop visits by digitizing activation flows.

### SGP.32 IoT Specification Adoption

In May 2023, the GSMA released SGP.32, an eSIM IoT Remote Manager that enables businesses to initiate profile swaps without requiring substantial operator integration takes the place of the operator-driven SGP.02 approach [2]. For battery-operated sensors without an interface, this eliminates the largest obstacle. SGP.32 (IoT) volumes are expected to grow at a 38.6% CAGR, according to Market Research Future. Resellers combine many operator profiles onto a single contract while module manufacturers send verified firmware.

### Automotive Connectivity and Cybersecurity Mandates

Regulation (EU) 2015/758 has required eCall on every new type-approved passenger car and light van since 31 March 2018 [6], which guarantees an embedded cellular link in 100% of qualifying vehicles. UN-R155 made cybersecurity management systems mandatory for all new vehicles registered in the EU from July 2024 [7], favoring hardware-anchored secure elements. Electric drivetrains rely on over-the-air updates, so automakers now specify eUICCs that can switch carriers across a 12–15-year vehicle life.

### 5G Standalone Cores and Network Slicing

Ericsson forecasts 6.3 billion 5G subscriptions by the end of 2030, roughly 67% of all mobile subscriptions [5]. Standalone 5G cores enable network slicing, which lets one device hold profiles for public and private slices. Industrial buyers value this flexibility because a device can move between a factory's dedicated network and a public operator without a site visit. This driver matures slowly, since standalone core deployments remain uneven outside leading operators.

### Smart Metering and Utility Digitization

The EU's third energy package set a target of [smart meters](https://www.marketresearchfuture.com/reports/smart-meters-market-4569) for 80% of electricity consumers wherever cost-benefit analyses were positive [18]. Second-wave meter programs increasingly use LTE-M and NB-IoT connectivity with soldered eUICCs. Meters stay in service for 15 years or more, and utilities cannot predict which operator will offer the best terms a decade out. Cyber-resilience rules push utilities further toward tamper-resistant embedded secure elements.

### Remote Patient Monitoring and Cellular Wearables

U.S. Medicare reimburses remote physiologic monitoring under CPT codes 99453, 99454, and 99457, with device-supply payments of roughly USD 45–50 per patient per month [17]. Cellular glucose monitors, cardiac monitors, and fall-detection pendants use embedded SIMs to transmit data without a paired phone, which improves adherence among elderly patients. Sealed designs also remove card slots that admit moisture, a practical advantage for devices worn around the clock.

### Travel and Roaming eSIM Services

UN Tourism recorded about 1.4 billion international tourist arrivals in 2024, close to pre-pandemic levels [23]. Travel eSIM apps let visitors buy local data before landing, bypassing roaming charges and airport kiosks. Each download adds a consumer profile to an installed eUICC, generating provisioning volume and licensing revenue. The effect is short-term but meaningful: it teaches mainstream consumers that switching operators takes minutes rather than a store visit.

## Restraints

## Restraints Impact Analysis

Restraint impacts are directional estimates of downward pressure on the Embedded Sim Market CAGR. Like the driver figures, they are not additive and should be read as relative weights, not precise deductions from the headline growth rate.

| Restraint | ~% Impact on CAGR | Geographic Relevance | Impact Timeline | Ref |
| --- | --- | --- | --- | --- |
| Operator Gatekeeping and Profile Lock-In | −2.4% | Global | Medium-term (2–4 yr) | [4] |
| Legacy SGP.02 Fragmentation | −1.9% | Global | Short-term (≤2 yr) | [3] |
| Permanent-Roaming and Localization Rules | −1.6% | South America, Middle East & Africa, Asia-Pacific | Long-term (≥4 yr) | [4] |
| Security Certification and Compliance Costs | −1.3% | Global | Short-term (≤2 yr) | [8][20] |
| Hardware Price Erosion from iSIM Integration | −1.1% | Asia-Pacific | Long-term (≥4 yr) | [13] |

### Operator Gatekeeping and Profile Lock-In

Profile issuance is still within the hands of mobile providers. Some markets restrict eSIM activation to postpaid plans or demand identity checks in-store [4]. In prepaid-heavy areas, where the majority of connections are prepaid, these approaches impede adoption while protecting churn numbers. Until operators view quick digital onboarding as a growth lever rather than a churn risk, consumer penetration will lag behind device capability.

### Legacy SGP.02 Fragmentation

Operator-hosted SM-SR systems are essential to millions of M2M devices deployed under SGP.02. Hardware replacement or [software](https://www.marketresearchfuture.com/reports/software-market-11924) updates are frequently necessary when migrating them to newer architectures [3]. Multi-operator SGP.02 projects can increase connectivity costs by 15–20% due to redundant integration work, according to businesses surveyed by Market Research Future. Fleet-wide carrier optimization is slowed down as a result.

### Permanent-Roaming and Localization Rules

Regulators including Brazil's Anatel, along with authorities in Turkey and India, restrict permanent roaming or require local numbering for IoT devices [4]. Global device makers must therefore negotiate local profiles country by country. Market Research Future estimates that localization adds 10–15% to deployment costs in affected markets, weighing most on cross-border logistics and connected-car programs.

### Security Certification and Compliance Costs

Every eUICC production and personalization site must pass GSMA security accreditation, and new products need eSA certification before operators accept them [20]. The EU Cyber Resilience Act adds vulnerability-reporting duties backed by fines of up to EUR 15 million or 2.5% of global turnover [8]. Smaller vendors struggle to absorb recurring audit costs, which accelerates consolidation.

### Hardware Price Erosion from iSIM Integration

Integrated SIM places the secure element inside the cellular modem or application processor, eliminating a discrete component [13]. Market Research Future estimates this removes USD 0.50–1.50 of chip content per device as iSIM scales in wearables and low-cost IoT modules. Vendors without secure-OS or profile-management revenue face shrinking hardware margins even as unit volumes rise.

## Opportunities

## Embedded Sim Market Opportunities

### Emerging-Market Handsets and Agritech

Several sources estimate that about 2.6 billion people remained offline in 2024 [15], concentrated in South Asia and Sub-Saharan Africa. Falling eUICC costs make eSIM viable in sub-USD 150 smartphones, and digital onboarding removes the cost of distributing plastic SIMs to rural retailers. Agritech sensors, solar home systems, and pay-as-you-go devices in these regions need operator flexibility where coverage is patchy.

### Connectivity-as-a-Service and Data Monetization

Recurring software revenue is the most attractive new business model in the Embedded Sim Market. Connectivity platforms charge per-device monthly fees for profile orchestration, usage analytics, and automated carrier arbitrage, turning a one-time chip sale into an annuity. Anonymized connectivity and location telemetry from fleets can also feed insurance and logistics analytics, subject to GDPR-style consent.

### Satellite Non-Terrestrial Network Profiles

3GPP Release 17 standardized non-terrestrial network support for NB-IoT and 5G NR [16]. This lets satellite operators issue profiles that sit alongside terrestrial ones on the same eUICC. Maritime trackers, remote pipelines, and agricultural sensors can then fail over to satellite without separate hardware, opening demand in areas that terrestrial networks will never cover economically.

### Retrofitting Legacy Field Devices

Digi International's December 2025 SGP.32 plug-in upgrade shows how legacy field equipment can gain multi-operator capability without full hardware replacement [14]. The installed base of 2G and 3G devices facing network sunsets is a sizable retrofit pool, especially in utilities, elevators, and point-of-sale terminals.

### Private 5G in Manufacturing

Unplanned downtime in automated production can exceed USD 100,000 per hour. Factories deploying private 5G want devices that move between private and public networks without technician visits. Dual-profile eUICCs with slice-aware orchestration meet that need and command premium pricing over consumer-grade parts.

## Future Outlook

## Embedded Sim Market Future Outlook

### AI-Driven Connectivity Orchestration

Connectivity platforms are adding machine-learning models that select operator profiles based on signal quality, latency, and tariff in real time. Ericsson's forecast of 6.3 billion 5G subscriptions by 2030 [5] implies denser, more heterogeneous networks, where automated profile choice beats static contracts. By the early 2030s, Market Research Future expects most enterprise IoT fleets in the Embedded Sim Market to use policy-based orchestration rather than manual carrier management.

### Platform Economics of Subscription Management

Value is migrating from silicon to software. As eSIM technology moves onto the modem die through iSIM [13][19], secure-OS licensing, subscription management, and eIM services become the durable profit pools. Vendors that own the orchestration layer can bundle analytics and carrier arbitrage, earning recurring revenue that outlasts the hardware sale.

### Satellite-Terrestrial Convergence

3GPP Release 17 opened the door to unified terrestrial and satellite profiles [16]. Between 2028 and 2035, maritime, agricultural, and emergency devices are expected to carry both profile types on one eUICC. Satellite operators will need provisioning partnerships with established secure-element vendors rather than proprietary SIM supply chains.

### Sustainability and Plastic Reduction

Industry estimates cited by SIM vendors put annual plastic SIM card production at several billion units [11]. Replacing them with soldered or integrated secure elements eliminates card bodies, packaging, and physical distribution. Operators increasingly report these savings in ESG disclosures, giving procurement teams an environmental rationale that supports eSIM-only device policies.

## Segment Insights

## Embedded Sim Market Segmentation

### By Network Type

| Segment | Metric | Primary Demand Driver |
| --- | --- | --- |
| 5G | 25.1% CAGR (2026–2035) | Standalone cores, network slicing, private networks |
| 4G/LTE | 48.5% share | Installed smartphone base and LTE-M sensors |
| Others (3G, NB-IoT, LTE-M) | USD 0.09 Billion | Low-bandwidth meters and asset trackers |

Within the Embedded Sim Market, 4G/LTE leads with a 48.5% share because most active smartphones, telematics units, and LTE-M sensors still run on established networks. 5G grows fastest at a 25.1% CAGR as operators migrate to standalone cores that support slicing and low-latency industrial links. NB-IoT and LTE-M remain essential for low-power meters and trackers, so multi-mode eUICCs that span 4G and 5G will dominate new designs.

### By Device Type

| Segment | Metric | Primary Demand Driver |
| --- | --- | --- |
| Smartphones | 56.2% share | eSIM-only flagship designs |
| Tablets and Laptops | USD 0.13 Billion | Always-connected PCs and bundled data plans |
| Wearables | 25.0% CAGR (2026–2035) | Cellular smartwatches and health monitors |
| M2M Modules | 19.4% share | Asset trackers, meters, industrial gateways |

Across the Embedded Sim Market, smartphones account for 56.2% of shipments, but their growth is flattening as penetration matures. Wearables expand fastest at a 25.0% CAGR, led by cellular glucose monitors, cardiac devices, and standalone smartwatches that operate without a paired phone. M2M modules form the second-largest volume pool, while tablets and laptops benefit from carrier bundles sold at the point of purchase.

### By End-User Industry

| Segment | Metric | Primary Demand Driver |
| --- | --- | --- |
| Consumer Electronics | 41.8% share | Smartphones, tablets, wearables |
| Automotive and Transportation | 25.3% CAGR (2026–2035) | eCall, UN-R155, over-the-air updates |
| Industrial and Manufacturing | USD 0.10 Billion | Predictive maintenance and robotics |
| Logistics and Asset Tracking | 7.6% share | Multimodal supply-chain visibility |
| Energy and Utilities | USD 0.06 Billion | Smart meters and grid sensors |
| Healthcare | 4.9% share | Remote patient monitoring |

For the Embedded Sim Market, Consumer Electronics holds the largest share at 41.8%, reflecting smartphone and wearable volumes. Automotive and Transportation grows fastest at a 25.3% CAGR, propelled by eCall, UN-R155 cybersecurity compliance, and electric vehicles that depend on constant software updates. Industrial, logistics, and utility buyers value long-life, multi-operator profiles. Healthcare adoption tracks reimbursement for remote monitoring.

### By Form Factor

| Segment | Metric | Primary Demand Driver |
| --- | --- | --- |
| MFF2 | 66.2% share | Automotive and industrial durability |
| Wafer-Level CSP | 27.4% CAGR (2026–2035) | Thin devices and lower power draw |
| Integrated SIM (iSIM) | USD 0.04 Billion | Modem-level integration in low-cost IoT |
| Other Form Factors | 3.9% share | Plug-in upgrades for legacy devices |

In the Embedded Sim Market, MFF2 packages lead with a 66.2% share because their vibration tolerance and extended temperature range suit vehicles and industrial equipment. Wafer-Level CSP grows fastest at a 27.4% CAGR. Parts such as Infineon's OPTIGA Connect line cut power draw and board area for smartphones and wearables [12]. iSIM, validated on Qualcomm platforms with Thales [13], will squeeze discrete packaging in cost-sensitive designs.

### By Provisioning Specification

| Segment | Metric | Primary Demand Driver |
| --- | --- | --- |
| SGP.02 (M2M) | USD 0.29 Billion | Legacy operator-managed IoT fleets |
| SGP.22 (Consumer) | 58.7% share | Smartphone, tablet, and wearable activations |
| SGP.32 (IoT) | 38.6% CAGR (2026–2035) | Enterprise-controlled IoT profile management |

Among provisioning standards in the Embedded Sim Market, SGP.22 (Consumer) dominates with a 58.7% share because every eSIM smartphone and wearable relies on it [1]. SGP.32 (IoT) grows fastest at a 38.6% CAGR, giving enterprises direct control over profile swaps without operator-hosted SM-SR platforms [2]. SGP.02 (M2M) still anchors large automotive and utility fleets but will lose share as new designs default to SGP.32.

## Regional Market Share Analysis

## Regional Market Share Analysis

| Region | Metric (2025 share, USD, or 2026–2035 CAGR) | Primary Investment Themes |
| --- | --- | --- |
| North America | 36.4% share | eSIM-only handsets, connected cars, remote patient monitoring |
| Europe | USD 0.25 Billion | eCall, smart meters, Cyber Resilience Act compliance |
| Asia-Pacific | 27.9% CAGR (2026–2035) | Nationwide operator eSIM launches, 5G standalone, wearables manufacturing |
| South America | 4.1% share | Fleet tracking, agriculture telemetry |
| Middle East & Africa | USD 0.05 Billion | Smart-city programs, mining asset tracking |
| Total | USD 0.92 Billion | — |

Regional demand in the Embedded Sim Market reflects handset replacement cycles, automotive regulation, and operator readiness for digital onboarding. North America leads today, Europe follows on the strength of vehicle and utility mandates, and Asia-Pacific adds the most incremental volume through 2035.

### North America

| Country | Metric | Key Driver |
| --- | --- | --- |
| United States | 86.2% of North America | eSIM-only iPhones and nationwide carrier eSIM support |

North America's 36.4% share of the Embedded Sim Market rests largely on the United States, where eSIM-only iPhones since 2022 have made digital activation routine at all three national carriers [9]. Connected-car programs from domestic automakers now ship eUICCs as standard [telematics](https://www.marketresearchfuture.com/reports/telematics-market-1121) hardware. Medicare reimbursement for remote physiologic monitoring sustains demand for cellular health wearables [17]. Enterprise IoT buyers are early SGP.32 adopters, using it to consolidate carrier contracts across logistics fleets.

### Europe

| Coverage | Metric | Key Driver |
| --- | --- | --- |
| Europe (regional total) | USD 0.25 Billion | eCall and Cyber Resilience Act compliance |

Europe generated USD 0.25 Billion in 2025, with regulation setting the pace. The eCall mandate [6] and UN-R155 [7] make embedded connectivity universal in new vehicles. Second-wave smart-meter programs specify soldered eUICCs for 15-year service lives [18]. The Cyber Resilience Act, in force since December 2024 [8], favors suppliers with certified secure-OS stacks and documented vulnerability handling. That benefits the region's established secure-element vendors.

### Asia-Pacific

| Coverage | Metric | Key Driver |
| --- | --- | --- |
| Asia-Pacific (regional total) | 27.9% CAGR (2026–2035) | Operator eSIM launches and 5G standalone densification |

Asia-Pacific is forecast to grow at a 27.9% CAGR through 2035. The three national carriers in the region's largest handset market completed nationwide eSIM rollouts in October 2025 [21], unlocking hundreds of millions of devices for digital activation. High 5G standalone coverage supports slice-aware industrial deployments. The region's concentration of wearables and module manufacturing also shortens design cycles for wafer-level packaged parts.

### South America

| Coverage | Metric | Key Driver |
| --- | --- | --- |
| South America (regional total) | 4.1% share | Fleet tracking and agricultural telemetry |

South America held a 4.1% share in 2025. Growth concentrates in fleet management, cargo security, and precision agriculture, where devices cross coverage zones of several operators. Permanent-roaming restrictions push device makers toward local profiles, which favors SGP.32 platforms that can download in-country credentials after deployment [2]. Prepaid-heavy consumer markets keep smartphone eSIM adoption behind other regions.

### Middle East & Africa

| Coverage | Metric | Key Driver |
| --- | --- | --- |
| Middle East & Africa (regional total) | USD 0.05 Billion | Smart-city and mining asset-tracking programs |

Middle East & Africa generated USD 0.05 Billion in 2025. Gulf smart-city programs deploy eSIM-enabled meters, cameras, and mobility sensors on new 5G networks. In Sub-Saharan Africa, mining operators and solar pay-as-you-go providers use multi-operator profiles to keep remote assets connected. High inbound tourism volumes add travel eSIM demand at regional airports and hubs [23].

## Competitive Benchmarking

## Competitive Benchmarking

The Embedded Sim Market is moderately concentrated. Market Research Future estimates a Herfindahl-Hirschman Index of roughly 900–1,100, with the top five vendors holding about 52–60% of revenue. Established secure-element specialists dominate eUICC personalization and subscription management. Semiconductor firms compete on wafer-level and integrated designs, while software-first entrants target SGP.32 orchestration.

| Company | Est. Revenue Share Range | Key Offerings for Embedded Sim Market | Strategic Positioning |
| --- | --- | --- | --- |
| Thales Group | ~14–18% | eUICC, subscription management, iSIM secure OS | Scale leader across consumer, automotive, and IoT |
| Giesecke+Devrient | ~11–15% | eSIM management platforms, eUICC | Strong operator relationships and platform services |
| IDEMIA Secure Transactions | ~9–12% | eUICC, connectivity management | Operator-focused, expanding IoT orchestration |
| Infineon Technologies | ~7–10% | OPTIGA Connect eSIM solutions | Automotive-grade and wafer-level hardware |
| STMicroelectronics | ~6–9% | ST4SIM eSIM products | Industrial and automotive secure elements |
| NXP Semiconductors | ~5–8% | Secure elements for mobile and automotive | Integrated secure-element and NFC platforms |
| Qualcomm Technologies | ~2–4% | Modem platforms with iSIM support | iSIM enablement at chipset level |
| Kigen | ~3–5% | iSIM/eSIM operating system and remote provisioning | Software-led iSIM and SGP.32 specialist |
| Valid | ~2–4% | eUICC and subscription management | Strength in Latin American operators |
| Workz Group | ~1–3% | Cloud eSIM management, eUICC | Agile SaaS-based provisioning |
| 1GLOBAL | ~1–3% | Global connectivity and eSIM platforms | Enterprise and travel connectivity |

## Recent News & Developments

## Recent News & Developments

- Qualcomm and Thales (February 2023): Announced a GSMA-certified iSIM running on a Snapdragon mobile platform, showing that the secure element can live inside the application processor [13].
- GSMA (May 2023): Released the SGP.31/SGP.32 eSIM IoT specifications, enabling enterprise-controlled profile management for constrained devices [2].
- UNECE / European Union (July 2024): UN-R155 cybersecurity requirements became mandatory for all new vehicles registered in the EU, reinforcing hardware-anchored security in telematics [7].
- Apple (September 2024): Continued eSIM-only designs for U.S. iPhone 16 models, sustaining carrier investment in digital activation [9].
- European Union (December 2024): The Cyber Resilience Act entered into force, setting vulnerability-handling duties for connected products that include eUICCs [8].
- Apple (September 2025): Launched the iPhone Air as an eSIM-only device worldwide, the first global removal of the SIM tray by a major OEM [10].
- Three national carriers in Asia-Pacific's largest handset market (October 2025): Completed nationwide eSIM rollouts, expanding the region's addressable base [21].
- Digi International (December 2025): Introduced an SGP.32 plug-in upgrade for legacy field devices, avoiding full hardware replacement [14].

## Report Scope

| Parameter | Details |
| --- | --- |
| Market Scope | Embedded Sim Market covering eUICC hardware, iSIM, and associated provisioning licences, by network type, device type, end-user industry, form factor, provisioning specification, and region |
| Study Period | 2021–2035 (Historical: 2021–2024; Base Year: 2025; Forecast: 2026–2035) |
| CAGR | 24.7% (2026–2035) |
| Market Size checkpoints | 2025: USD 0.92 Billion; 2026: USD 1.15 Billion; 2030: USD 3.16 Billion; 2035: USD 8.40 Billion |
| Fastest Growing Segments | 5G (25.1% CAGR); Wearables (25.0% CAGR); Automotive and Transportation (25.3% CAGR); Wafer-Level CSP (27.4% CAGR); SGP.32 (IoT) (38.6% CAGR) |
| Companies Profiled | Thales Group, Giesecke+Devrient, IDEMIA Secure Transactions, Infineon Technologies, STMicroelectronics, NXP Semiconductors, Qualcomm Technologies, Kigen, Valid, Workz Group, 1GLOBAL |
| Valuation Currency | USD Billion |

## Frequently Asked Questions

**Q: How should buyers choose between SGP.02 and SGP.32 when sourcing for the Embedded Sim Market?**
A: New IoT designs should specify SGP.32, because enterprises can switch carriers through their own eIM without operator-hosted platforms [2]. SGP.02 makes sense only when extending fleets already integrated with one operator.

**Q: Which contract terms reduce lock-in risk for Embedded Sim Market buyers?**
A: Require the right to add third-party operator profiles and to move eIM control to another provider without hardware changes [2]. Contracts should also cap per-swap profile download fees.

**Q: What eUICC memory capacity should Embedded Sim Market buyers specify?**
A: Specify at least 512 KB–1 MB of free profile memory so the chip can hold several operator profiles over its life [1]. Undersized memory forces deletion before each swap, risking a stranded device if a download fails.

**Q: How long does carrier onboarding take for an enterprise IoT rollout?**
A: Under SGP.02, adding each operator commonly takes six to twelve months of platform integration and negotiation [3]. SGP.32 shortens this to weeks through a standardized download interface.

**Q: Does eSIM remove the need for operator device certification?**
A: No. Devices still need GCF or PTCRB certification plus each carrier's acceptance testing before profiles download commercially [25].

**Q: Where are investors placing capital in the Embedded Sim Market value chain?**
A: Capital across the Embedded Sim Market is flowing toward subscription management and orchestration software that earns recurring per-device fees [22]. Hardware investment centers on wafer-level packaging capacity for wearables.

**Q: How long should secure-OS support last in eUICC supply contracts?**
A: Support should match the device's service life, typically 10–15 years for vehicles and meters [22]. Suppliers should commit to over-the-air security patches throughout that period.


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