Dublin, Sept. 23, 2013 (GLOBE NEWSWIRE) -- Research and Markets (http://www.researchandmarkets.com/research/zfz55j/euicc_a)
has announced the addition of the "eUICC,
a Disruption in the SIM Market" report to their offering.
The mobile telecommunications industry undergoes permanent dynamic
development and evolution. Speeds are increasing, value-added
services expand revenue sources, prime costs are being reduced, and
many other aspects are being optimized.
The SIM card, one of the core features of mobile telecommunications
industry is also subject to the optimization process. Evolving from
bank card size, to plug-in, micro- and nano-SIM cards, the
subscriber identity module is expected to be reduced even more
changing from a removable physical form factor to an embedded
one.
Performances of secure transactions industry players allow further
miniaturization of SIM cards, while ensuring the best level of
security. Embedding SIM card into mobile communication device
completely coincides with current trends of smooth look and
enhanced functionality of high profile mobile handsets.
Not only mobile embedded SIM (or eUICC) is expected to free
valuable space in popular communication devices, it will also
ensure more flexible control and handling of key communication and
additional services. Remote management of secure identity module
bids fair to bring more business opportunities to the whole value
chain.
Indeed, machine-to-machine (M2M) market, which has already adopted
embedded M2M form factor (MFF2), clearly shows the advantages that
soldered subscriber identity module brings to the ecosystem
stakeholders. In the M2M ecosystem, the MFF2 benefits all affected
parties, including the supply chain, mobile network operators and
companies that opt for M2M technology.
However, mobile eUICC adoption is not going to pass easily as it is
set to reshape the current removable SIM ecosystem. While being a
lot similar to the actual SIM in terms of functions, the eUICC will
change the structure and the way SIM
card vendors and mobile telecommunication industry players,
third parties and, finally, end users interact with each other.
Moreover, such a reshape prescribes the introduction of new roles
and the arrival of new entrants as well.
The new embedded form factor also raises diverse technical and
legal questions, with security and ownership rights issues being
among them. Depending on how these issues will be tackled, there
will be different operating modes of eUICC ecosystem with new roles
and new players to gamble their material wellbeing on the
matter.
Undoubtedly, controversy on new business models that will rely on
eUICC hurdles straightforward standardization and implementation of
the technology. Taking into account the strengths and weaknesses of
major players, Smart Insights has defined four scenarios that the
industry may undergo. The probability of each scenario described in
the report depends on key business advantages that each stakeholder
anticipates from the eUICC adoption. In addition, the same
stakeholders, fearing the shift of power coming with the eUICC
adoption, may be tempted to build upon their current situation to
hinder the implementation of the technology.
MNOs are believed to resist the transition from removable SIM to an
embedded module, which eventually may negatively impact their core
business. However, our field research found that some MNOs do
believe in business opportunities that come with eUICC adoption and
thus come out for its implementation. Handset makers alike other
third parties are also expected to take advantage of the eUICC
opportunity.
Nonetheless, Smart Insights forecasts that adjusted removable SIM
card shipments will continue to grow at a CAGR of 6%-12% depending
on different eUICC adoption scenarios analyzed in the report. The
wide adoption of eUICC is not foreseen in the scope of the covered
period, but rather in the long-term future. The report provides
forecasts on eUICC shipments and adjusted removable SIM card
shipments in volume.
The analysis was conducted based on primary and secondary research,
the technical and business expertise of semiconductor and SIM card
manufacturers, mobile network operators and handset makers, as well
as industry associations and standardization bodies that were
interviewed anonymously for the purpose of this report.
Smart Insights Report eUICC: a disruption in the SIM market
provides a comprehensive analysis of embedded UICC (eUICC)
solution, its probable future adoption scenarios and impact on the
SIM card market.
The eUICC (embedded Universal Integrated Circuit Card) concept
consists in replacing the detachable SIM by a chip soldered on the
handset motherboard performing the same functions. Such a
technology evolution may trigger changes in the whole mobile
communication ecosystem, as the customer relationship management
may shift from the mobile network operator to the handset
vendor.
The Smart Insights Report eUICC, a disruption in the SIM market
includes a series of adoption scenarios for eUICC, depending on
which entity in the ecosystem is the most active in supporting the
new technology.
According to these scenarios, the adoption of eUICC as a
replacement for the detachable SIM will not have a significant
impact on the SIM market over the forecast period (2013 - 2018).
Even with the fastest adoption scenario, Smart Insights forecasts
adjusted removable SIM card shipments will continue to grow at a
CAGR of 6% to 12%.
Key Topics Covered:
Executive Summary
Table of contents
Table of Illustrations
1 Removable UICC
2 M2M eUICC
3 Mobile eUICC
4 Hypothetic scenario - UICC dematerialization
5 Regulatory aspects
Table of acronyms
For more information visit http://www.researchandmarkets.com/research/zfz55j/euicc_a
Research and Markets
Laura Wood, Senior Manager.
press@researchandmarkets.com
U.S. Fax: 646-607-1907
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Sector:
Computing and Technology