- eSIMs are transforming travel connectivity, eliminating the need for physical SIM cards.
- Southeast Asian eSIM startups are attracting significant investments from venture capitalists.
- The technology could reach 6.7 billion smartphone connections by 2030.
Bye-bye, plastic!
The rise of eSIM technology is transforming the way travelers stay connected. eSIMs eliminate the need for physical SIM cards, relying on a specialized chip called eUICC inside devices to store multiple SIM profiles issued by cellular providers.
Southeast Asia’s travel eSIM sector is attracting significant investor interest.
Singapore-based Airalo recently secured US$60 million in series B funding, Vietnamese startup Gohub landed US$500,000 in pre-seed funding, and Jetpac announced a strategic investment from Japanese telecom provider KDDI.
Telcos and eSIM startups: a love story
eSIM companies purchase data in bulk from telecom providers, repackage it into data plans, and resell these plans to consumers at competitive prices.
This business model enables telcos to reach more customers through additional channels without the overhead costs of managing retail operations directly.
The adoption of eSIM technology critically depends on the availability of compatible devices.
GSMA Intelligence forecasts that eSIM smartphone connections could reach 6.7 billion by 2030, accounting for 76% of total smartphone connections worldwide.
To read the original article: https://www.techinasia.com/why-esims-could-be-the-next-startu-goldmine
