In an unprecedented shift within the telecommunications sector, the global landscape of travel connectivity is on the brink of a revolution. According to a groundbreaking analysis by Juniper Research, a leader in digital market forecasting, travel eSIMs are anticipated to skyrocket by an astonishing 440% in the next half-decade. This surge from 40 million users in 2024 to 215 million by 2028 marks a significant departure from traditional mobile roaming services, heralding a new era for international travellers.
At the heart of this transformation lies the eSIM, a sophisticated digital solution that allows travellers to bypass exorbitant roaming fees by downloading a temporary local profile directly onto their device. This innovative approach not only simplifies staying connected abroad but also offers a more cost-effective alternative to conventional roaming options. The study reveals a compelling cost comparison: mobile subscribers currently pay an average of $8.57 per GB when roaming internationally, in stark contrast to the $5.50 per GB spent by eSIM users, translating to a substantial 35% saving.
This seismic shift in consumer preference is driven by the escalating costs of roaming and the increasing penetration of eSIM-capable devices worldwide. The United States alone is poised to have more than half of its connected devices equipped with eSIM technology in 2024, presenting a vast market ripe for adopting travel eSIM packages. Molly Gatford, the author of the research, emphasizes the importance of maximizing distribution channels and creating a seamless purchasing journey to capitalize on this emerging trend.
However, this surge in eSIM adoption is not without its casualties. Traditional mobile operators stand to lose over $11 billion globally as travellers increasingly turn to eSIM solutions for their connectivity needs. Juniper Research advises operators to adapt by developing their own eSIM offerings that complement existing roaming packages, thereby mitigating potential revenue losses.
Juniper Research’s latest suite of studies provides an unparalleled overview of the travel SIMs and eSIMs market, offering detailed analysis and forecasts for 60 countries. With over 17,500 market statistics covering five years, including a Competitor Leaderboard and Country Readiness Index, this comprehensive research suite is an invaluable resource for understanding the future landscape of global travel connectivity.
The rise of eSIM technology signifies more than just a shift in how we stay connected while travelling; it represents a fundamental change in the telecommunications industry, challenging traditional business models and paving the way for innovative solutions that prioritize convenience, cost-efficiency, and global accessibility.
Written by: Kanda Limw
