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SIM cards at the center of the mobile ecosystem

Week 41, 2009

Being at the center of the relation between the mobile network operator and the end user, the SIM card is the means to ensure collaboration between all players in the mobile communication ecosystem. In order to be even more supportive of this central position, SIMalliance has set up a series of partnerships with other standardization bodies, such as GSMA, ETSI, OMTP, GP, …

The SIM card, the first source of revenue and profit for our industry, is at the core of the evolution of mobile communication towards new technologies, and of the evolutions of mobile device users towards new services, and new behaviors. The SIM card represents the presence of the mobile network operator in the hand of the subscriber. For instance, it provides a means for the mobile network operator to be present on customers’ mind, and to propose value added services in the context of non-subsidized handsets.

There are many positive market news for the SIM card industry:

  • The role of a removable SIM as a subscriber identification is recognized in LTE the same way as it was in 2G and 3G technologies,
  • Verizon in the US announced its intention to include SIM cards in its CDMA handsets, to ensure a better subscriber management,
  • The recently announced Nokia notebook, features a SIM slot to ensure subscriber authentication, and access to value added services,
  • Mobile broadband is available in 90% of advanced markets, opening the way to the deployment of new SIM-based value added services,
  • New advertising models are developed to monetize the customer relationship.

These good news, and positive market anticipation are also reflected in the SIMalliance market figures (cf. Focus in this Smart Insights Weekly issue).

Thierry SpanjaardChief EditorSmart Insights