eSIM/iSIM vs. Traditional SIM for IoT (2025 guide)

What each term means 

 

Before we compare options, let’s align on terms. Vendors often blur SIM, UICC/eUICC (eSIM), and iSIM, but they aren’t the same thing. We’ll use GSMA definitions so you know exactly what’s a removable card, what’s a soldered secure element with remote profiles, and what’s fully integrated into the chipset.

 

• Traditional SIM (removable UICC): 
  a physical card you insert. It holds credentials for one operator profile unless you physically swap it.

 

• eSIM (eUICC, soldered): 
  a secure chip in the device; you download operator profiles over-the-air and can store/switch multiple profiles. For IoT, GSMA’s SGP.32 standard adds bulk provisioning and low-touch fleet operations. GSMA

 

• iSIM (integrated SIM):
  SIM/eUICC functions are inside the SoC’s tamper-resistant element; fewer components, smaller PCB, lower power, still remotely provisioned and certified.

 

 

Why this matters now

 

As IoT fleets move from hundreds to tens of thousands of devices across multiple countries, the old “swap the card” model collapses under cost, risk, and logistics. eSIM/iSIM turn connectivity into software: you provision, switch, and secure profiles over the air.

 

• Scale pressure:
  Cellular IoT connections will grow from 4.1B (2025) to 6.5B (2030); managing physical swaps doesn’t scale.

 

• Fleet operations:
  SGP.32 enables bulk profile operations and simpler integrations, first deployments from late 2025.

 

• Security posture:
  SIM/eSIM/iSIM can serve as the hardware Root of Trust (IoT SAFE) for chip-to-cloud auth at scale. GSMA+1

 

• Market direction:
  GSMA Intelligence and Counterpoint project rapid mainstreaming of eSIM/iSIM across devices by 2030. GSMA

 

Bottom line: once you scale beyond a few thousand devices or operate in multiple markets, the operational leverage of eSIM/iSIM outpaces the upfront integration effort. Design for SGP.32-style orchestration, make the SIM your root of trust, and plan policy-aware local profiles to avoid roaming limits, traditional SIMs still fit small, static fleets, but they won’t carry you through growth.

 

Explore the global SIM from IXT.

 

 

Pros and cons for large-scale IoT

 

When your fleet grows past a few thousand devices—often across multiple countries—the SIM choice becomes an operations decision, not just a hardware one. Below we map where eSIM/iSIM outperform plastic SIMs (manufacturing, remote ops, security) and where they can introduce friction (provisioning workflows, certification, roaming policy). Use this to pick the right path per device class, lifecycle, and market mix.

 

Where eSIM/iSIM shine

 

• Manufacturing & SKU simplification: One global hardware variant; provision the right operator per device, per country post-manufacture.

 

• Remote lifecycle control: Activate, suspend, swap carriers, and rotate credentials over the air; SGP.32 adds bulk provisioning and orchestration.

 

• Footprint, ruggedness & power: No card slot; iSIM saves BOM and board space and can improve energy profile.

 

• Security options: Use the SIM as Root of Trust with IoT SAFE; harder to tamper/remove than a card. GSMA

 

• Vendor flexibility: Easier to avoid lock-in and optimize cost/quality by changing providers across device life.

 

 

Where to be cautious

 

• Provisioning ecosystem risks: Research shows some travel eSIMs route traffic via third-country cores and resellers may access sensitive metadata or assign public IPs by default: review jurisdictions, routing, and SM-DP+ choices.

 

• Operational pitfalls: If a device is offline during eSIM deletion, providers may not receive the deletion notice, blocking re-install until support intervenes. Design your runbooks accordingly.

 

• Certification work (iSIM): iSIM requires integrated TRE evaluation (GSMA SGP.08/PP-0117 approach) and careful SoC isolation/memory handling. Factor this into module selection and timelines.

 

• Roaming policy constraints: “Permanent roaming” limits in markets like Brazil/China complicate single-profile strategies; SGP.32 + orchestration helps, but you still need policy-aware connectivity planning.

 

Explore IXT's coverage map.

 

 

Traditional SIM advantages 

 

• Simplicity & habits: Mature supply chains, well-understood processes, easy field swaps when fleets are small.

 

• Offline resilience: No dependency on remote provisioning to change profiles—just swap the card.

 

• Certification familiarity: Avoids integrated TRE evaluation paths.

 

 

Traditional SIM drawbacks

 

• Truck rolls & OPEX: Physical swaps for every change.

 

• Bigger attack surface in the field: Removable cards are easier to steal/replace; reduced tamper resistance.

 

• SKU sprawl: Multiple regional SKUs and stock management.

 

 

Security & compliance snapshot 

 

Security isn’t just crypto and firewalls—it’s how identities are issued, routed, and audited at scale. With eSIM/iSIM, the SIM can be your hardware root of trust, but the risk shifts to provisioning workflows, routing/jurisdiction, and vendor control of SM-DP+. This section highlights what regulators care about (GDPR/NIS2), what attackers target, and the controls to make eSIM/iSIM verifiably safer than plastic.

 

• Regulatory view:
  ENISA reports “very few reported cybersecurity breaches involving eSIMs in Europe since 2010” and no major technical vulnerabilities currently known, but flags software-design risks (e.g., memory exhaustion, profile locking) and the need for robust provisioning controls and identity checks.

 

• Root of Trust:
  GSMA IoT SAFE positions the SIM/eSIM/iSIM as a hardware RoT for TLS/credentials—align with Zero Trust rollouts. GSMA

 

• Due diligence:
  Prefer GSMA-certified eUICC/iUICC vendors; validate SM-DP+ geo/jurisdiction, inspect routing (HRR vs LBO), and disallow public IPs by default.

 

Treat the SIM as your hardware root of trust and make compliance an architectural choice, not a checkbox. Standardize on GSMA-certified eUICC/iUICC, require transparent SM-DP+ ownership and jurisdiction, document HRR/LBO routing for data sovereignty, and default to no public IPs behind private networking. Add key rotation, profile lifecycle tests (including offline-deletion edge cases), and log everything through your CMP. Done this way, eSIM/iSIM moves from “new risk” to provable control, helping you meet GDPR/NIS2 requirements with less manual overhead than plastic SIMs, while scaling securely across markets.