Mobile networks set to flood market with eSIMs to fend off competition from smaller rivals

eSIM
(Image credit: AndreyPopov)

  • Travel eSIM revenues are expected to reach $1.8 billion by 2025
  • Smaller providers are driving innovation through agile digital-first eSIM solutions
  • Mobile operators face rising pressure to protect traditional roaming income streams

As consumers increasingly rely on digital connectivity abroad, the demand for flexible, affordable mobile data plans is accelerating.

According to Juniper Research, mobile network operators are preparing to launch more travel eSIM services as competition in the telecom industry intensifies.

The move is seen as an effort to protect roaming revenues and prevent third-party providers from taking a larger share of the fast-growing international connectivity market.

Rapid growth in the travel eSIM market

The study reveals that revenue from travel embedded SIM (eSIM) packages is expected to reach $1.8 billion by the end of 2025, marking an 85% rise from 2024.

This increase reflects the growing appeal of eSIM technology as a cheaper and more flexible alternative to traditional roaming.

The report attributes this growth to “Connectivity-as-a-Service” platforms, which have lowered technical barriers for new entrants.

These platforms allow smaller companies to offer travel eSIM services without the need for large-scale infrastructure.

Usually, the best eSIMs for international travel come from agile digital providers rather than traditional mobile operators, although this may change as larger players enter the space.

Juniper Research forecasts that by 2026, many mobile operators will introduce their own travel eSIM solutions alongside their current roaming services.

This shift aims to provide customers with prepaid and postpaid options that maintain brand loyalty and reduce dependency on third-party vendors.

“As third parties increasingly integrate themselves in the telecoms sphere, it will be pivotal in 2026 that operators launch their own travel eSIM services to compete and retain as much revenue as possible from mobile roaming,” said Molly Gatford, Senior Research Analyst at Juniper Research.

While eSIM technology promises flexibility, it also challenges established business models.

Mobile networks face pressure to compete on pricing, performance, and added features to convince travelers that their versions offer the best options.

However, with numerous competitors offering region-specific plans in large markets, including the best eSIM for Europe and the best eSIM for Asia, it remains uncertain whether larger operators can match the adaptability of smaller providers.

Operators see an opportunity in the growing market, but the ease of entry means new competitors can emerge quickly.

For consumers, this rivalry could lower prices and improve global connectivity, but telecom providers must deliver reliable and cost-effective services to succeed.


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Efosa Udinmwen
Freelance Journalist

Efosa has been writing about technology for over 7 years, initially driven by curiosity but now fueled by a strong passion for the field. He holds both a Master's and a PhD in sciences, which provided him with a solid foundation in analytical thinking.

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