How iPhone 17 will change the future of SIM cards.

Technology

5

Apple recently launched the new iPhone Air, which works exclusively with eSIM, without a slot for the traditional SIM card.

This move marks the beginning of the end for physical SIM cards. eSIM allows users to switch networks or plans without physically handling a SIM card. Analyst Kester Mann from CCS Insight told BBC News that Apple's announcement "marks the beginning of the end for the physical SIM card."

​

eSIM stands for Embedded Subscriber Identity Module. The chip is an essential part of the phone, enabling connection to the mobile network, managing calls, messages, and data usage. In recent years, eSIM has emerged as an alternative, with many new phones offering the option to use either a traditional SIM or eSIM.

Paolo Pescatore, a technology analyst at PP Foresight, emphasized that the shift to eSIM offers "numerous benefits." These include saving internal space in the phone, allowing for larger batteries. It’s also more eco-friendly, eliminating the need for plastic SIM cards. Pescatore believes eSIM users will have more options for carriers when traveling abroad, avoiding "bill shock."

Kester Mann stated that this technology will bring new customer behaviors and "will slowly change the way people interact with their mobile carrier." For example, some customers won’t need to go to a physical store to discuss their SIM card. However, like any change, it may not be well-received by everyone. Mann added: "The change could be particularly significant among older age groups or people less comfortable with technology. The industry will need to make efforts to explain how eSIMs work."

According to CCS Insight forecasts, 1.3 billion eSIM-enabled smartphones were in use by the end of 2024. This number is expected to rise to 3.1 billion by 2030. While Apple is making this significant step with the iPhone Air, it isn’t completely abandoning the physical SIM card. Other new iPhone models, like the 17, 17 Pro, and 17 Pro Max, will be available exclusively with eSIM in some markets, but in most countries, they will still include physical SIM card slots.

Other major manufacturers, such as Samsung and Google, while adopting eSIMs as an option, still retain the physical SIM card in most locations. However, experts agree that the direction is clear. Paolo Pescatore stated: "Over time, expect the SIM slot to completely disappear."