SIM cards make way for eSIMs in Apple, Samsung, Huawei, Google

CHRIS GRIFFITH
October 12, 2017
The Australian
The plastic SIM card we use in phones, tablets and cellular watches finally looks like being phased out. It will be replaced over time by an electronic SIM embedded in hardware that is encoded with your phone number by a software process.
It seems bizarre that in the 21st century we have to insert little bits of white plastic into small trays in phones.
The Groupe Speciale Mobile Association, which represents mobile phone makers globally, has developed a standard form of embedded SIM card with device makers.
In 2015, Apple and Samsung were reported to be in talks with the GSMA on their versions of an eSIM and last year Samsung released a Gear S2 smartwatch with a 3G-compliant eSIM in some markets.
Huawei’s Watch 2 has an eSIM. Apple Watch Series 3 has Apple’s proprietary eSIM. Some Google Pixel 2 phones also contain an eSIM, but it’s only for a mobile virtual network operated by Google in the US called Project Fi. For now in Australia, you use a regular nano SIM with Pixel 2. But it shows Google is readying for the eSIM revolution.
There’s a killer feature eSIMs bring with them: you can have several devices that use a single phone number. That’s what makes Apple Watch Series 3 different.
Apple Watch goes through an initialisation process, securely creating your watch eSIM from your phone. So when someone calls, your phone and watch will both ring, and you can talk to the caller from either. The same goes for SMS and MMS: messages go to both devices.
All three major carriers — Telstra, Optus and Vodafone — are on board with Apple’s eSIM concept. You pay an extra $5-$10 a month for the second eSIM connection.
Expect this one-number-for-all approach to expand. Telstra says it’s examining the idea of, say, your phone, watch, laptop or PC all sharing the one number. Telstra director of product innovation Jeremy Howe says some customers may prefer the opposite scenario — having several different eSIMs and numbers on the one device; for example, separate eSIMs for home and business.
Not everything has been smooth sailing with the Apple Watch eSIM. Telstra business customers can’t make calls from their new cellular Apple Watch Series 3; Telstra says this will take time to implement.
Optus says it is exploring eSIM capability for enterprise customers; currently Optus Number Share with a single phone number is available on eligible consumer postpaid plans only.
Telstra and Optus confirm that to send or receive SMS and MMS messages with the Watch, the linked iPhone has to be switched on and connected, even if it’s at a different location. This is to do with conversion from the iMessages format. Apple’s guide says the same restriction applies to push notifications.
Telstra plans to extend its one-number eSIM concept to laptops and other devices in time.
Optus vice-president of mobile products Tim Cowan says eSIMs will give birth to a new category of internet-connected device that will be of critical importance to the internet of things.
Cowan says customer demand for Apple’s cellular Watch has been stronger than anticipated, with Optus selling its initial stock. More is on the way.
Eventually, eSIMs will enable manufacturers to get rid of the SIM tray, which will save space in a device.
The big three telcos may be on board, but resellers have yet to gain access to eSIMs. This puts companies such as Amaysim, which also operates Vaya, at a disadvantage for now.
“Apple (has) decided to work with a limited number of carriers globally and has not opened up access to the Apple SIM to all telcos yet,” Amaysim chief technology officer Julian Dell says.
“We have reached out to Apple and are in early discussions to get access to the Apple SIM for Amaysim customers.”
These resellers will hope that customers don’t defect to the big telcos should they buy a cellular Apple Watch in the meantime.
“We are certainly heading towards a future without traditional SIM cards,” Dell says.
“We are watching this trend closely and are already working with our wholesale partner, Optus, on implementation of the GSMA eSIM when it becomes more readily available in the market.”