CCS Insight recently expressed concerns that mobile operators may not be prepared for what it expects is a multi-billion-dollar opportunity in the travel eSIM sector.
They went on to note that specialist players are already active and challenging the traditional roaming revenue model used by existing operators.
In a statement, Director of Consumer and Connectivity Kester Mann highlighted the arrival of specialist service providers, falling prices and growth in remote provisioning as key challenges to the established roaming sector.
CCS Insight pegged the number of travel eSIMs provisioned in 2024 at 70 million and predicts the figure to exceed 280 million by 2030.
Mann said consumers are rethinking how they get connected when travelling and urged mobile operators to do the same. “Travel eSIM offers fresh opportunities to target lapsed or non-users, expand into new countries, build better engagement with customers and diversify into new markets.”
CCS Insight noted the value of the eSIM market could break the $4.4 billion mark in 2030, fuelled by growing international travel and greater availability of compatible smartphones.
It expects consumers in North America will be most likely to use a travel eSIM, pointing to Apple’s use of the set-up as a factor fuelling uptake and familiarity.
CCS Insight predicted the number of eSIM-compatible smartphones owned will grow from 1.3 billion today to more than 3 billion by the close of the decade. Mann said operators “have a delicate path to navigate to avoid cannibalising a long-term source of revenue”, though CCS Insight predicts the challenge from specialist players will ultimately wane due to market saturation and commoditisation.
Source: Mobile World Live
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