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Building An eSIM Platform

How Can Businesses Earn Money By Building An eSIM Platform?

Mobile is an integrated part of our life!

We can’t imagine our lives without this convenient device. Manufacturers try hard to develop this communication component in a way that can provide assistance to users to the maximum extent possible.

The latest major development in it is the end of the need for physical SIM cards.

Now eSIMs are becoming more popular as easy to activate and a hassle-free alternative to traditional SIM cards.

Have a look at the data from Statista, shows that by 2030, 82 percent of smartphones, 92 percent of connected cars, and all drones and smartwatches are expected to be embedded SIM (eSIM) capable.

So, in this piece of writing, we will discuss this recent development and learn how businesses can build an eSIM platform to leverage most of its benefits.

What is eSIM?

In simple terms, eSIM is a digital SIM used to activate a cellular plan from a carrier without having to use a physical SIM card.

Only mobiles that come with inbuilt capability can run eSIM. Currently, the iPhone comes with this facility and allows users to install eight or more eSIMs. However, only two phone numbers will be activated at the same time.

Difference Between An eSIM vs A Physical SIM card?

An eSIM is a digital version of the physical SIM card. Similar to a physical SIM card, eSIM allows mobile devices to access network connections over the server. These both are programmable remotely via software.

In the recently launched smartphones, eSIM comes inbuilt, meaning users wouldn’t have to go purchase a new SIM card if they want to swap phones or wireless carriers.

Additionally, eSIMs are also being used in tablets, smartwatches, and drones. The core benefits of eSIM are space-saving and seamless connectivity.

Difference Between An eSIM and Physical SIM

Factor eSIM Physical SIM
SIM Card Slot No Yes
Physical Replacement No Yes
Special Device Compatibility Needed Not Needed
Numbers & Plans Multiple Single
Activation QR Code/ Mobile App In-Store/ Mailing
International Roaming Charges Low High
Damageable No Yes
Profile Storage Device SIM Card Itself
Environmental Impact Less More
Future-Proofing More Less

Why Are eSIM Platforms in Demand?

An eSIM platform is a set of software and hardware components. It is used to activate or manage the eSIMs in various connected devices.

Note: As we read above, eSIMs are embedded directly into the device during manufacturing. For that reason, these platforms don’t need any physical SIM to operate.

The eSIM platform is necessary to host the eSIM profile, the digital representations of SIM cards that contain crucial information for a device to connect to a cellular network.

These profiles are provided by mobile network operators. Users can download and install them onto the eSIM on a device.

eSIM platforms help in the remote management of eSIM profiles. Mobile network operators can securely deliver eSIM profiles to devices over the air (OTA) through these platforms. Remote devices can get connected to the operator’s network and services via these platforms.

eSIM platforms are also used to handle the overall management of eSIM. This management includes activation, deactivation, and other updates. Using these platforms users can switch between different carriers or plans without a need for a physical SIM card swap.

To secure the data over the air from servers and devices, eSIM platforms employ robust encryption and authentication mechanisms. It protects sensitive SIM data during communication between devices and servers and secures the privacy of users.

For the sake of users, eSIM platforms provide them with user-friendly interfaces and apps. It helps the end-users manage their eSIM profiles and subscriptions directly from their devices without any hindrance. Overall, these platforms are crucial and businesses can develop them to leverage the most of the benefits.

How Businesses Can Earn Revenue by Building an eSIM Platform?

By building an eSIM platform, businesses can earn revenue through various channels and strategies. Here are some of the ways to generate income:

  • Subscription Fee

Businesses can earn by charging a subscription fee to startups and individuals for access to their cloud-based eSIM platform. It would help in generating recurring fees for the services including. This charge can be laid for eSIM provisioning, management, and connectivity.

  • License Agreement

Businesses can also earn by offering licensing agreements to other businesses or mobile carriers. They can apply for it to get access to eSIM provisioning technology and other related services.

  • Enterprise Plans

Businesses can also create customized plans to meet the needs of enterprise customers by charging them extra fees. It can include bulk provisioning and management solutions and charges based on the number of devices.

  • International Roaming Plans

Businesses also can earn revenue by offering international roaming plans for travelers. These plans can benefit travelers by allowing them to use eSIM technology to access local networks while abroad. Ultimately benefit both, businesses and travelers.

  • Device Activation Fees

Businesses can charge a fee for each device they activate on your eSIM platform. It would help them in generating recurring revenue.

Suggested read: How to Quickly Start an Online Store Step-by-Step Guide

How to Build an eSIM Platform?

Building an eSIM platform is a complex process. You have to go through various technical steps and a robust strategy.

Building an eSIM Platform

An overview of the steps to build an eSIM platform is below:

1. Define Your Objectives

Find the primary objectives of your eSIM platform. Identify whether you want to build it to provide IoT connectivity, mobile device management, or other related services.

2. Regulatory Compliance

Many local and international regulations related to telecommunications and SIM card provisioning exist and can vary in different locations of the world. Ensure compliance with them, once done start establishing partnerships with mobile network operators to access their networks and services.

3. Infrastructure Setup

You have to build or procure (whatever is possible) the necessary hardware infrastructure to support the platform’s core functionalities. It must have secure storage and encryption capabilities for eSIM profiles.

4. Security and Authentication

You need to implement robust security measures to protect eSIM profiles and user data. Also, develop authentication levels to ensure secure access to the platform.

5. Profile Management System

To handle eSIM profile provisioning, activation, deactivation, and updates, a profile management system will be needed.

6. User Interface

To allow both platform administrators and end-users to manage eSIM profiles and devices efficiently, user-friendly interfaces will be needed.

7. Connectivity Management

You also have to develop tools for monitoring and managing connectivity. It will include data usage tracking and real-time status updates for eSIM-enabled devices.

8. Billing and Payment Integration

To provide users with a seamless payment facility, you need to implement billing and payment systems to handle subscription charges, data usage fees, and other financial transactions. You can support various payment methods, including credit cards, digital wallets, and carrier billing.

9. APIs and Integration

By Creating application programming interfaces (APIs) you can allow third-party applications and services to interact with your eSIM platform.

10. Testing and Quality Assurance

Before proceeding further, thoroughly test the platform to identify and resolve any bugs or vulnerabilities. Also, perform load testing to ensure the platform can handle a high volume of transactions at the same time.

11. Compliance Testing

Also, you have to conduct compliance testing to ensure that your platform adheres to industry standards and meets regulatory requirements. If any loophole is found correct that immediately.

12. Final Launch

After being assured, launch your eSIM platform with an initial set of features and services. Also, keep in mind that it should be scalable to accommodate a growing user base and increasing demand.

13. Continuous Improvement

The task doesn’t end here, you have to continuously monitor the platform’s performance. You can gather user feedback to make informed decisions and scale your business model.

How We Can Help

We, Gsquare, a development company, can help businesses build an eSIM platform by providing expertise, technical support, and strategic guidance.

We can start by conducting a thorough analysis of the business’s requirements, goals, and target audience. It is essential to create a well-thought-out design for the eSIM platform that includes user interfaces, database architecture, and system integration.

Our team of experienced professionals who are well-versed in eSIM technology. They can help ensure that the platform is built using the latest industry standards and best practices.

We also provide maintenance, updates, and technical support to ensure the eSIM platform continues to function effectively. Put every effort possible to make your platform stay up-to-date with evolving technologies.

How Can Businesses Earn Money By Building An eSIM Platform

Summing Up

All in all, businesses can leverage the benefits of the popularity of eSIM technology by building eSIM platforms. They can create another revenue stream through subscription fees, licensing agreements, customized enterprise plans, international roaming services, and device activation fees.

To tap into this market, flourish your business, and dominate the mobile industry, you only have to provide a seamless and secure eSIM experience. So, what are you waiting for? Take the first step towards building an eSIM platform. If puzzled, we are here to help you. Our seasoned developers are eager to assist you to flourish in the market.

Common Questions

1. What is an eSIM platform, and how is it different from physical SIM cards?

eSIM is a digital SIM card in devices. It replaces physical SIMs and allows remote server programming.

2. Which devices support eSIM technology?

New smartphones, tablets, smartwatches, and some laptops support eSIM.

3. How do I activate an eSIM?

Scan a carrier-provided QR code or use a mobile app for activation.

4. Can I switch carriers easily with an eSIM?

Yes, download a new eSIM profile via an app or QR code.

5. Is eSIM technology secure, and how is data protected?

eSIM is secure and all data protection measures are in place.

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