a day ago
Why ESIM Adoption Is Still So Slow—And What Needs To Change
Dmitri Verbovski, Yesim Founder.
When eSIM technology entered mainstream devices—first in smartwatches, then in iPhones and Android devices—it was heralded as the next evolution in mobile connectivity. By allowing users to activate a cellular plan without physically inserting a SIM card, eSIM promised seamless, digital onboarding.
And yet, in 2025, eSIM adoption remains tepid in many consumer markets. For a technology with obvious advantages, that's puzzling.
As the CEO of a global digital connectivity provider, I've spent the last few years working at the intersection of telecom infrastructure and user experience. What I've learned is simple. It's not the technology that's broken; it's the outdated, fragmented ecosystem surrounding it.
eSIM Works—So Why Isn't The World Using It?
eSIM technology streamlines onboarding, reduces manufacturing waste and makes switching between carriers frictionless. From a consumer experience and logistics standpoint, it's a no-brainer.
So why do most mobile users still rely on traditional plastic SIM cards? According to Kaleido Intelligence's market analysis, while eSIM-connected devices are proliferating in the IoT and enterprise markets, their adoption in the consumer market still lags significantly behind expectations. The answers share a common factor: Most friction comes not from the technology itself but from how humans implement it.
Traditional carriers have little incentive to speed up eSIM adoption, because eSIM undermines their core customer retention mechanisms. Users can switch carriers in minutes, removing a key friction point that previously acted as a "soft lock-in." As a result, most major carriers either delay the rollout of eSIM, restrict its use to secondary devices or bury it deep in technical menus.
As Mobilise Global notes, many MNOs fear an increase in churn and a decline in revenue per user due to easier switching. Until telcos see eSIM not as a threat but as an opportunity to build better, more dynamic customer relationships, progress will remain slow.
According to a consumer survey by a niche eSIM resource site, fewer than 40% of consumers feel confident activating an eSIM on their own. Many cite confusing instructions, unclear compatibility and inconsistent onboarding flows as reasons for abandonment.
In practice, users often encounter QR codes that expire, vague instructions or apps that don't support their device. In an age of one-click everything, eSIM activation still feels like configuring a home router circa 2008. This disconnect is hindering adoption and trust.
While most flagship smartphones now support eSIM, mid-tier and entry-level markets remain underserved. In many regions, such as Latin America and sub-Saharan Africa, this lack of device support is a significant blocker to adoption.
This device gap significantly limits mass adoption, especially in prepaid markets where users upgrade slowly. And even within supported devices, not all carriers allow eSIM provisioning. The result: a fragmented ecosystem where capability does not translate into usability. Fragmentation, combined with inconsistent regulation across regions, creates a trust barrier that slows mass-market adoption.
eSIM promised a new era of mobile freedom, but most consumers still don't know it exists.
Telcos and OEMs have largely failed to educate the public. Aside from Apple's bold move to remove SIM trays in U.S. iPhones, there has been no widespread campaign to explain eSIM's value. Digital-first players like Holafly, Airalo and Ubigi are filling the gap, especially for travelers, but their outreach remains niche compared to what's needed for mass adoption.
What Needs To Change
If we want eSIM to reach its potential, three shifts must happen. First, carriers must reframe eSIM as an opportunity. Instead of viewing eSIM as a churn risk, telcos should embrace it as a platform for loyalty through enhanced service, dynamic plans and seamless user experience.
The user experience also needs radical simplification. QR codes and manual provisioning must go. eSIM onboarding should be as easy as logging into Netflix. Startups building eSIM activation layers with clean APIs and no-code integrations will lead the way.
Finally, consumers need to be educated about the technology. People don't adopt what they don't understand. eSIM needs storytelling, community onboarding and product-led demos that reduce fear and increase trust.
Adoption Is Not Inevitable—It's Earned
The eSIM revolution was never about the chip. It was about the choice: the ability to switch networks with ease, travel without roaming fees and stop being locked in. But technology alone doesn't drive change. If we want eSIM to become the global norm, we must encourage user-first design, transparent pricing and clear, consistent education. Until then, eSIM will remain a hidden feature in an over-marketed phone.
The technology is ready, and the infrastructure is improving. The next chapter of mobile connectivity will be written by those who prioritize simplicity, transparency and trust. Whether eSIM becomes the norm depends on how boldly we tell its story, and how relentlessly we fight for user-first simplicity.
Forbes Technology Council is an invitation-only community for world-class CIOs, CTOs and technology executives. Do I qualify?