Why IoT deployments fail: 5 mistakes CTOs keep repeating

In fact, up to 60% of IoT projects fail to progress beyond the proof-of-concept stage, according to research from Beecham.

 

Why? It’s rarely due to the devices themselves. More often, it’s down to avoidable missteps in connectivity, integration, and long-term planning. If you’re a CTO responsible for scaling IoT infrastructure, here are five common mistakes to watch out for—and how to steer clear.

 

1. Underestimating the complexity of connectivity

 

A few test devices working on a local SIM might look fine during a pilot. But scaling that same setup across multiple countries, networks, and thousands of devices? That’s where cracks start to show.

 

Common pitfalls:

• Relying on a single MNO with limited coverage or roaming flexibility

• No plan for permanent roaming restrictions (especially in markets like Germany or Brazil)

• No fallback if a local network goes down

 

Fix it:
Choose a provider that offers multi-network access, local IMSIs, and global data pooling to avoid fragmented contracts and inconsistent coverage.

 

2. Ignoring SIM lifecycle management

 

When it’s just a few devices, manual provisioning might feel manageable. But try doing that across 10,000 devices with various activation times, data thresholds, and usage patterns, and it becomes a logistical mess.

 

Signs you’re in trouble:

• No visibility into SIM status or usage

• Inability to remotely deactivate or update profiles

• Confusing billing due to multiple plan types

 

Fix it:
Make sure your provider has a Connectivity Management Platform (CMP) with real-time dashboards, APIs, and automated provisioning workflows. It saves time, reduces cost, and gives you full control.

 

3. Treating security as a last-mile problem

 

Too many deployments add security on top—after the fact. But for IoT, where devices often operate unattended in the field and send sensitive data over mobile networks, that’s a risky bet.

 

The risk?

• Unsecured SIMs or public network data exposure

• Firmware injection attacks via weak OTA processes

• Regulatory non-compliance (hello, GDPR fines)

 

Fix it:
Include security measures and strategy from the start. Look for private APNs, end-to-end encryption, VPNs, and SIM-based authentication. Your connectivity provider should offer this by default—not as a premium add-on.

 

4. Picking the wrong SIM technology for the job

 

Physical SIMs, eSIMs, iSIMs—it’s not just jargon. The wrong choice can limit flexibility, impact battery life, or complicate provisioning at scale.

 

When it goes wrong:

• Devices can’t be updated remotely

• You’re forced to physically access hardware to swap SIMs

• Provisioning takes weeks instead of seconds

 

Fix it:
Understand your use case. For global scale and remote management, eSIM or iSIM is the way forward. And make sure your provider supports Remote SIM Provisioning (RSP).

 

5. Lack of clarity on pricing and scale strategy

 

Hidden costs are a killer. Be aware of the actual price and look into fees for roaming, data overages or device minimums. 

If you’re unsure what the bill will be next month—you’ve got a problem.

 

Fix it:
Look for transparent pricing with flexible contracts. Bonus points if they offer pooled plans and scalable models that grow with you.

 

Learn more about how to avoid mistakes

 

If any of this sounds familiar—you’re not alone. Even the most experienced tech teams fall into these traps. The good news? They’re avoidable. And often, the fix starts with choosing the right connectivity partner—one that’s built for scale, not just pilots.

 

Want to know more about what to look for in a connectivity partner. Check out our Connectivity Buyer's guide!