Entitlement
Server
A Game-
Changer for
mobile
operators
Unlocking the Power of
eSIM and Wearables
Solution Brochure
Entitlement Server: A Game-Changer for mobile operators 2
Table of contents
Introduction03
The Rise of eSIM 04
The Hyper-Growth Phase 05
eSIM and other Device Categories 06
Apple Watch and Device Entitlements 07
New Generation of Entitlement Service 07
Introducing AirOn360® ES 08
Entitlement Server: A Game-Changer for mobile operators 3
Introduction
In the ever-competitive consumer service market, customer
acquisition and retention play a pivotal role in the success
or failure of companies. One of the challenges faced by
mobile operators today is the delay customers experience
between making a decision to sign up with their chosen
operators and that operators eventually providing service.
The traditional process of obtaining a physical SIM card can
take days, during which customers might reconsider their
decision. However, with the advent of eSIM technology,
this delay can be dramatically reduced to just a few minutes
or a few seconds - provided it is implemented correctly.
Giesecke+Devrient (G+D) and its partner NetLync offer a
seamlessly implemented eSIM solution called AirOn360®
ES that significantly increases the likelihood of customers
following through on their decision to sign up with the
mobile operators.
Entitlement Server: A Game-Changer for mobile operators 4
The Rise of eSIM
As eSIM-enabled devices become increasingly prevalent, they Furthermore, the growing availability of network services,
present mobile operators with an opportunity to provide such as the Apple Watch, and enhanced device features
convenient services that elevate the user experience. Simplified further amplify the potential of eSIM technology. This is where
and digital activation processes, device synchronisation, and Entitlement services come into play, acting as a vital orchestrator
SIM-eSIM, eSIM-eSIM transfers are among the many benefits for mobile operators, to deliver exceptional customer
that eSIM technology offers. For end-users, eSIM enables hassle- experiences, reduce churn, and increase overall customer
free connection and easy transfer of existing plans, while also satisfaction.
allowing multiple cellular plans on a single device.
Share of smartphones with activated eSIM (in percent)
in mio. pcs %
4.000
100
3.500 90
80
3.000
70
2.500
60
2.000 50
1.500 40
30
1.000
20
500
10
0 0
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Year
Active Smartphone eSIM Connections (Million) eSIM Enabled Smartphones (Millions)
Smartphone eSIM Activation Rate (%)
Source: Kaleido Intelligence Limited, www.kaleidointelligence.com
Accumulated amount of smartphones in use.
Entitlement Server: A Game-Changer for mobile operators 5
Entering the
Hyper-Growth Phase
eSIM adoption has now passed the inflection point and The arrival of an eSIM-only iPhone not only familiarises
reached a critical turning point and is ready to enter a phase consumers everywhere with eSIM technology but also
of hyper-growth, primarily driven by its increasing adoption in encourages other OEMs to consider adopting eSIM in the future.
smartphones, smartwatches, and cellular IoT applications. This Those who are not equipped with the necessary capabilities,
growth trajectory will be further accelerated by the growing including an SM-DP+ and an Entitlement Server (ES), will risk
awareness of eSIM among mobile operators and OEMs. Notably, losing customers to more prepared competitors.
Apple’s introduction of an eSIM-only iPhone in the US market
underscores the diminishing relevance of physical SIM cards
and necessitates operator´s preparedness across the rest of
the world. It is no longer a question of “if” but rather “when”
operators must adapt to this technology.
Entitlement Server: A Game-Changer for mobile operators 6
Beyond Smartphones: eSIM
and other Device Categories
While smartphones continue to be the driving force behind network operators in over 110 countries across the world,
eSIM awareness, eSIM is also appearing in other device the concept of eSIM becoming de facto in many consumer-
categories, such as tablets, drones and wearables. Notably, and business-orientated devices is gradually being realised.
Apple Watch is gaining significant traction, contributing to This applies especially to cellular-enabled laptops, tablets
the growing prevalence of eSIM technology. This upward and smartwatches, which benefit from the form factor
trend is reinforced by the global adoption of Entitlements optimisation and the provisioning flexibility afforded by eSIM.
by mobile operators, underscoring the increasing popularity The explosion of eSIM-enabled smartphones on the market
of the Apple Watch and other companion devices powered will drive a supply-side migration away from legacy Business
by eSIM. Commenting on eSIM adoption across different Support Systems, which in turn opens the door to a seamless,
device categories, Chief of Research Steffen Sorrell at Kaleido digital onboarding process for end-users, helping accelerate
Intelligence said “With eSIM now supported by mobile eSIM connectivity adoption in a range of consumer devices”
3,9bn eSIM
>325 MNOs
eSIM
Over 325 mobile operators globally
devices
support eSIM services for connectivity By the end of 2028, close to
across more than 110 countries. 3,9 billion smartphones globally
will be eSIM enabled, growing
from 1,1 billion in 2023.
>150 eSIM
device models eSIM Transactions
Over 150 consumer eSIM devices are now
available on the market for consumer use. increase
eSIM players reporting triple-digit growth
in consumer eSIM transactions during 2022,
despite smartphone slowdown.
Device User Experience
Enhancements
MNOs to invest more heavily in Entitlement and digital BSS
solutions in reaction to market forces. 25% more
eSIM Platforms
Approximately 160 consumer eSIM
platforms were added during the 2021-22
period, a growth of ~25% year on year.
Source: Kaleido Intelligence Limited, www.kaleidointelligence.com
7
Apple Watch and
Entitlements Server
The presence of the Apple Watch has become a revenue
generator for many mobile operators - opening up new
revenue streams through companion device upselling
and subscriptions, increasing Average Revenue Per User
(ARPU). Consequently, mobile operators without support
for Apple Watch face acquisition and retention challenges,
as customers are drawn to mobile operators that offer this
popular wearable device. An Entitlement Server is essential
for operators offering wearables like the Apple Watch, and
fortunately, G+D and NetLync have it covered.
Paving the way for a
New Generation of
Entitlement Server
Having identified several challenges with existing Entitlement Taking inspiration from successful SaaS-based services provided
solutions, including the lengthy contracting and deployment by Internet companies, G+D and NetLync have brought the same
timelines, complex commercials and the need to renegotiate approach into the telecoms world, providing a comprehensive
with the supplier every time there is a new use case, G+D PaaS-based solution known as “AirOn360® ES”.
and NetLync set about developing a brand new approach to
Entitlements.
Entitlement Server: A Game-Changer for mobile operators 8
Introducing AirOn360® ES
Baseline Apple Watch* & Wear OS Rich Communication Services (RCS)
VoLTE eSIM Quick Transfer Feature registration iPad 5G VoWiFi
Self-onboarding Developer-led Approach
Mobile operators can independently onboard at their own Enables fast deployment by providing a Developer Portal
pace, avoiding delays caused by supplier constraints or high specifically designed by developers for developers.
demand from other operators.
Ready for New Use Cases Scalability, security and privacy
As OEMs continue to introduce new use cases to support Running on AWS (Amazon Web Services), our solution takes
their product roadmap, we provides automatic access to new care of the scalability, security, and privacy you need to have
use cases without requiring a system upgrade. They become the perfect Entitlements solution. Whether you have 100 or 100
instantly available in the Developer Portal. million devices, we are ready for your network and device traffic.
* currently available for OEM partner carriers only
Risk Free: Try Before You Commit
With a free trial account on our developer portal, your
developers can explore use cases, create APIs, and test them risk-free.
https://www.airon360es.com
Entitlement Server: A Game-Changer for mobile operators 9
We expect eSIM use will continue
to increase significantly, so mobile
operators need solutions that support
convenient eSIM management, both
from their own and from the customer’s
point of view,” explains Philipp Schulte,
CEO of G+D Mobile Security. “In
order to keep their customers satisfied in
the long term, network operators should
offer users optimal service. Our
compelling eSIM Device Transfer offering
can play a crucial role in this.
Providing fast and easy access for
operators to Entitlements is our mission.
AirOn360® ES offers a new approach to
mobile operators to deploy use cases,
especially with eSIM Device Transfer and
Apple Watch. It enables mobile operators
to deploy further eSIM experiences
quickly and cost-effectively – with
minimal integration effort,“ says Emir
Aboulhosn, Co-Founder and CEO
of NetLync. “With AirOn360® ES,
we are now continuing our successful
cooperation with G+D.
About Giesecke+Devrient
Giesecke+Devrient (G+D) is a global SecurityTech company headquartered in Munich, Germany. G+D makes
the lives of billions of people more secure. The company shapes trust in the digital age, with built-in security
technology in three segments: Digital Security, Financial Platforms and Currency Technology.
G+D was founded in 1852 and today has a workforce of more than 14,000 employees. In the fiscal year
2023, the company generated a turnover of 3 billion euros. G+D is represented by 123 subsidiaries and joint
ventures in 40 countries.
Further information: www.gi-de.com
Giesecke+Devrient Mobile Security Germany GmbH
Prinzregentenstrasse 161
81677 Munich
Germany
www.gi-de.com More insights:
[email protected] © Giesecke+Devrient Mobile Security Germany GmbH, 2024
