How eSIM Standards Are Reshaping Global Manufacturing at Scale

As global demand rises for smarter, connected products, manufacturing leaders face a critical juncture: integrating connectivity without increasing complexity, cost, or compliance risk. For OEMs expanding into new markets, the shift to embedded connectivity, especially via eSIM, isn’t just a tech upgrade. It’s a business strategy when it comes to manufacturing connected products.

As the manufacturing world braces for the next wave of connectivity, a quiet yet powerful transformation is underway, driven not by flashy devices, but by the standards that govern how they connect. The ratification of new cellular eSIM standards—SGP.32 and its sibling SGP.41/42—marks a pivotal shift that could redefine how Original Equipment Manufacturers (OEMs) scale and manage connectivity across sectors.

These standards aren’t just incremental upgrades. They represent a fundamental evolution that promises to remove long-standing barriers to cellular IoT adoption, particularly for global and high-volume manufacturers. But are we ready to harness their potential?

A New Baseline: What SGP.32 Brings to the Table

SGP.32 rewrites the rulebook for cellular provisioning. Unlike previous models like SGP.02, which often required resource-heavy and power-draining provisioning processes, SGP.32 streamlines operations for IoT devices, especially those in constrained environments like smart meters, asset trackers, and embedded sensors.

Key benefits include:

• Low-power profile downloads suitable for long-life, battery-operated devices
• Improved flexibility and security with streamlined remote SIM provisioning (RSP)
• Support for limited-capability devices, including those without SMS or full network interfaces
• Broader compatibility with LPWAN cellular types, opening doors for new IoT verticals

Yet, it’s the ecosystem-wide interoperability promised by SGP.32 that truly makes it a game-changer. The framework enables Mobile Network Operators (MNOs), Mobile Virtual Network Operators (MVNOs), and OEMs to rely on certified, secure infrastructure removing bottlenecks that have traditionally made scaling slow and risky​.

IFPP and the Power to Provision at Scale

Enter SGP.41/42 and IFPP (In-Factory Profile Provisioning)—the next logical extension of SGP.32. IFPP allows manufacturers to embed and provision connectivity profiles during production instead of relying on post-deployment, over-the-air provisioning. This advancement unlocks critical advantages for manufacturers:

• Elimination of network dependency during the manufacturing phase.
• Resilience to roaming restrictions, regional regulatory hurdles, and MNO lock-ins.
• Flexible SKU management, reducing complexity and cost.
• Localized testing and provisioning essential for regulated industries like automotive and healthcare.

The “batch mode” provisioning option is especially promising. It enables entire groups of devices to be configured and staged with their respective profiles simultaneously, accelerating time-to-market while maintaining flexibility across different regional deployments​.

Why Manufacturers Should Pay Attention—Now

Suppose you manufacture connected products including IoT devices destined for multiple telecom circles, across continents or even within vast domestic networks. In that case, the new eSIM standards are not a mere technical footnote. They are the linchpin to global scalability.

Historically, a lack of standardization has tied OEMs to proprietary, inflexible SIM solutions. As a result, they’ve had to juggle multiple SKUs, navigate local carrier partnerships, and often rebuild device logic to support different connectivity needs. SGP.32 and SGP.41/42 break that pattern, introducing a generic, modular approach that scales with business needs.

Crucially, manufacturers must understand where in the production flow provisioning should occur, and how this shift affects automation, certification, and customer delivery. The earlier this understanding is developed—preferably through expert partners—the greater the competitive advantage when these standards become fully ratified.

The Bottom Line

The ratification of SGP.32 and SGP.41/42 may not make headlines, but its ripple effects across connected manufacturing will be profound. Manufacturers with global ambitions—or simply those seeking scalable, agile production—must move beyond viewing eSIMs as a component and start seeing standards as a strategic lever.

When exporting to or operating across multiple regions—whether defined by geography or telecom boundaries—success hinges on embracing standardization. The right partner can help you decode and convert these new standards into a competitive differentiator.