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Handset costs – not eSIMs – to blame for SIM card decline
- Thursday | 3rd October, 2019
SIM card replacement rates are set to shrink for the second year in a row, and a primary cause isn’t the rise of eSIMs but higher handset prices, according to new figures from ABI Research. Last year marked the first time in five years that SIM card shipments saw a global year-on-year reduction (with just 5.53 billion SIM cards shipped). And for both years, the SIM market has been marred by challenging market conditions in the APAC region. In the short term, however, ABI doesn’t see eSIM as problematic for the SIM replacement market, says Phil Sealy, Research Director at ABI Research. ABI forecasts removable SIM card shipments to shrink from 5.2 billion in 2019 to 5.0 billion in 2024.
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