Global ESIM for Travel Market size was USD 585.83 million in 2024 and the market is projected to touch USD 1,570.37 million by 2033, at a CAGR of 13.12% during the forecast period.

eSIM technology enables the user to switch mobile network operators without a physical SIM card. It is an embedded virtual SIM directly into the device, making it easier for people to travel abroad and stay connected. With the increased number of global travelers and the demand for seamless connectivity, eSIM offers an easy solution by eliminating the hassle of changing SIM cards or dealing with roaming charges.

ESIM for travel is in huge demand as more and more tourists look for cheaper, yet flexible options to remain connected. It allows the users to select local or international data plans, reducing cost and providing better network coverage than traditional SIM cards. Moreover, eSIM can support multiple profiles; the user can switch between networks and plans on one single device. The demand for seamless global connectivity, convenience, and cost-effective alternatives to traditional roaming services fuels this growth. The leading telecom operators and technology companies are investing in this technology to cater to the needs of modern travelers, which is further driving the expansion of the market.

ESIM for Travel Report Scope and Segmentation

Dynamic Insights

The adoption of eSIM-enabled devices, such as smartphones, tablets, and wearables, is increasing, which are being integrated with eSIM technology to offer flexibility in network selection. Travelers can access affordable data plans and avoid high roaming charges, especially in regions where traditional SIM cards may have limited options or incur expensive fees. This is another advantage that increases the attractiveness of eSIM for frequent travelers: the convenience of not having to swap SIM cards physically and being able to store multiple network profiles.

However, the slow adoption rate of eSIM technology from certain telecom operators and less-supportive regions with network limitations is expected to pose hurdles for market growth. Growing investments by mobile network operators and the increasing collaboration of telecom companies to expand their compatibility with eSIM is likely to drive the growth of the market. In addition, eSIM infrastructure advancements and its adoption into the Internet of Things (IoT) for travel-related services will most likely fuel innovation and increase market opportunities. As more countries and regions begin to support eSIM-enabled devices, the market will continue to grow, offering a more convenient, flexible, and cost-efficient means for travelers to stay connected worldwide.

Drivers Insights

• Increased Adoption of eSIM-enabled Devices

Growth in eSIM-enabled smartphones, tablets, and other wearables is a big driver of the eSIM for travel market. This equipment is handy and more agile as one does not require a physical SIM card, and can change mobile networks without replacing the physical SIM card-this is a wonderful benefit in international travels.

The availability of smartphones with eSIM capabilities, such as the latest Apple and Google models, is encouraging more consumers to opt for eSIM technology, thereby increasing the demand for solutions that cater specifically to travelers. This technology helps users easily access affordable local or regional data plans, thus reducing the cost and complexity of international roaming.

• Cost-effective and Flexible Connectivity for Travelers

Another significant driver of the eSIM for travel market is the demand for cost-effective and flexible mobile data plans. Traditional roaming charges can be expensive, and travelers often face high fees when using their home SIM cards abroad. With eSIM, users can access local networks in the country they are visiting, bypassing high international roaming charges.

The ability to easily switch between different carriers without the need for a physical SIM card provides flexibility and ensures better network coverage. This cost-saving advantage is a key reason for the increasing preference of eSIM technology among travelers, leading to greater market growth.

Restraints Insights

• Limited Carrier Support in Some Regions

E-SIM technology is becoming more popular in many parts of the world, but still is not very popular in other regions. Some telecom operators, especially in emerging markets, have not yet adopted or supported eSIM services. The lack of broad carrier support limits the traveler's ability to fully enjoy the benefits of eSIM technology, especially when traveling to countries where eSIM profiles are not available. Without adequate global carrier compatibility, the market may have limited growth potential as a traveler may not find easy access to eSIM services in some locations and thereby may not adopt the same for travel.

• Consumer Awareness and Understanding

Despite its growing popularity, there is still a lack of awareness and understanding about eSIM technology among some consumers. Many travelers are unfamiliar with how eSIM works, its benefits, and how to activate or switch between mobile operators.

The complexity of setup or integration with certain devices could deter some users from adopting this technology. Additionally, some consumers may prefer the familiarity of traditional SIM cards, limiting the speed of eSIM adoption. Telecom operators and device manufacturers must invest in educating users about eSIM’s advantages and ease of use to overcome this barrier.

Opportunities Insights

• Expansion of eSIM Infrastructure by Telecom Operators

As telecom companies continue to invest in expanding their eSIM infrastructure, the global eSIM for travel market is expected to see a great opportunity for growth. Many operators are beginning to roll out eSIM services in more regions, offering travelers access to local networks at more affordable prices.

The growing availability of eSIM-compatible plans across countries and regions will provide more seamless and convenient options for international travelers. This trend is expected to continue as mobile operators and telecom providers expand eSIM functionality, allowing travelers to experience broader network options, faster data services, and lower costs, which may lead to more extensive use.

Segment Analysis

• By Type

By Type, the eSIM market comprises integrated, removable, and embedded eSIM options. Integrated eSIMs are directly integrated into the hardware of a device, so there is no need for a SIM card slot. This is a type that is highly in use in smartphones, tablets, and wearables. Removable eSIMs are relatively flexible, allowing the users to swap out the eSIM profiles but retaining the eSIM functionality intact.

In contrast, embedded eSIMs are permanently integrated into the device's circuitry. Therefore, it provides the flexibility of network switching without physical SIM card intervention. This embedded eSIM is increasing adoption since it simplifies connectivity for travelers by allowing them to have multiple network profiles while minimizing the hassle of having to swap SIM cards abroad.

• By Application

By Application, the eSIM for travel market is divided into tourism, business travel, and leisure travel. In the tourism sector, eSIM is increasingly used to enhance connectivity for international tourists, enabling access to local networks without high roaming charges. Business travelers benefit from eSIM's ability to switch seamlessly between networks, ensuring reliable connectivity for communication and data usage during work trips.

Leisure travelers are also adopting eSIM technology as it provides a flexible and cost-efficient way to stay connected with friends and family while exploring new destinations. The eSIM solution offers convenience across all types of travel by providing affordable and accessible mobile services tailored to individual needs.

• By End-User

By End-User, the eSIM market caters to individuals, enterprises, and service providers. Individuals are the biggest user group, using the eSIM for personal traveling and convenience as it offers easy switching between mobile network providers. Enterprises use eSIMs to manage global connectivity of employees, especially for international business operations, so that employees remain connected without juggling multiple SIM cards.

Service providers that embrace both telecom operators and MVNOs are an integral part of the market offering eSIM services in support of managing mobile data, voice, and text conveniently for customers, most important to frequent travelers moving through multiple locations.

• By Connectivity

The eSIM for travel market is segmented into mobile data, voice, and text. Mobile data is the most used connectivity option, and users can access the internet, stream content, and use apps while abroad. Voice caters to the traveler who needs to make calls during their trips. Therefore, it provides seamless voice communication over local networks.

Text services include users sending messages worldwide using services that do not attract pricey international SMS services for convenient usage of eSIM to travel. These connections mean to keep users engaged and help them in multifarious ways to stay in connection. Thus, eSIM would prove to be quite the versatile solution for a journey.

• By Network

By Network, the market is divided into cellular and satellite networks. Cellular networks are the primary form of mobile connectivity, offering high-speed data and voice services across various regions. eSIMs enable seamless switching between different cellular providers, making it easier for travelers to access local networks. However, in remote or underserved areas where cellular connectivity may not be available, satellite networks provide a vital alternative for ensuring continuous communication.

Satellite networks are increasingly being used in regions with limited or no cellular infrastructure, ensuring that travelers can stay connected even in the most remote locations. The integration of eSIM technology with both cellular and satellite networks is expanding the options for connectivity, making it easier for travelers to choose the best network for their specific needs.

Regional Analysis

North America leads the market mainly because of the high adoption rate of eSIM-enabled devices such as smartphones, tablets, and wearables. Major telecom operators in this region are heavily investing in expanding eSIM infrastructure. They are offering more flexible and cost-effective data plans for travelers. The region has a large number of tech-savvy consumers and high business travel volumes, which further contributes to the growth of the region's market.

Europe also has good adoption, with efforts from the European Union in cross-border connectivity and reduced roaming charges for travelers. Several countries in Europe have embraced the eSIM technology with a lot of ease, and travelers enjoy the flexibility of switching networks across the Schengen Area and other regions. Asia Pacific is another region that is rapidly expanding due to an increase in mobile users and a developing travel and tourism sector. Countries such as China, Japan, and India have been significant players in this region, with an increased demand for mobile connectivity and eSIM solutions.

This region also has an added advantage of the growing penetration of affordable smartphones with eSIM technology, thereby fast-tracking the adoption process in the market. Latin America and the Middle East & Africa are also slowly growing. Adoption of eSIM is slower in these regions due to limited telecom infrastructure and lower consumer awareness, but rising international travel and increasing investments in telecom infrastructure are expected to drive market growth in the coming years.

Competitive Landscape

Major telecom companies, such as AT&T, Verizon, T-Mobile, and Vodafone, are in the leading position and are providing their services to individual consumers as well as businesses. They have been increasing their eSIM infrastructure and services in terms of flexible data, voice, and text plans for international travelers. Strategic partnerships and collaborations with leading mobile device manufacturers, like Apple, Samsung, and Google, which embed the eSIM technology into its smartphones and tablets, have fostered adoption.

Being capable of offering integrated solutions in the activation and management of eSIMs will continue to be a factor operators need to differentiate themselves. In addition to telecom operators, eSIM technology providers are Thales Group, Gemalto (now part of Thales), Truphone, and Giesecke+Devrient. All these companies provide the needed infrastructure, platforms, and software solutions for activation, management, and security in eSIM profiles.

A competitive edge in the market is often determined by carrier partnerships, network coverage, and ease of use by consumers. As the demand for eSIM solutions is picking up, these players will expand their offerings to be multi-profile capable, quick activation, and secure in a bid to attract both consumers and businesses looking for inexpensive, flexible global connectivity. The changing nature of collaborations between telecom operators, manufacturers of devices, and the eSIM providers will affect the competitive landscape and rate of growth of the market.

List of Key Players:

• AloSIM
• Flexiroam
• Airalo
• Holafly
• Matrix Cellular
• GoMoWorld
• Bouygues Telecom
• eSIM Japan
• Drimsim
• OneSimCard
• Mayamobile
• TravelSim
• Simify

Recent Developments:

• In May 2024, Airalo announced today that it has reached a significant milestone, surpassing 10 million users, solidifying its position as the world’s largest eSIM marketplace. In conjunction with this achievement, the tech company introduced its latest innovation, Airalo Partners, an all-in-one B2B and B2B2C platform designed for travel agents, resellers, and businesses globally.
• In Oct 2024, Travel eSIM provider Truely has successfully raised $3.5 million in a funding round led by 1982 Ventures, with contributions from Beenext, Kopital Ventures, the founding team, and several angel investors. Launched in 2023, Truely offers travelers access to mobile data across numerous destinations, with services available in multiple languages. The company provides local data plans in over 200 locations, eliminating the need for physical SIM cards and the hassle of expired or overlapping plans, as well as avoiding costly roaming charges.
• In Aug 2023, Airalo, a trailblazing eSIM marketplace transforming global connectivity, has announced the successful closure of its Series B funding round, securing an impressive $60 million. The round was led by e& capital, the investment arm of the global technology group e&, bringing Airalo’s total funding to $67.3 million. Other notable investors participating in this round include Antler Elevate, Liberty Global, Orange, T.Capital, Rakuten Capital, Singtel Innov8, Telefónica Ventures, Sequoia Capital India and SEA (now known as Peak XV Partners) Surge, KPN Ventures, and I2BF Global Ventures.

ESIM for Travel Report Segmentation