The introduction of the first eSIM card builds a new path to the world of total mobility and the “internet of things” (IoT) .

The Hungarian communication industry has come to a historic milestone: from June 13, 2018 Magyar Telekom’s portfolio includes the first eSIM compatible device, a Huawei smart watch.

The new technology is the first step into the world of the “internet of things” (IoT) as it lays the foundation of the use of connected devices which, over time, may replace smart phones that currently play a vital role in the market.

According to estimates of Cisco by 2020 as much as 50 billion devices will connect to the mobile network and this number may quadruple by 2025.

Today it is hard to imagine that within 5-10 years the primarily area of the use of mobile networks will not be smart phones but other types of portable devices: fitness bracelets, smart watches, mobile blood pressure monitors as well as cars and various sensors.

The rapidly developing eSIM technology can be interpreted as the ticket into the new world of connected devices which may seem to be futuristic right now, but it is already nocking on our doors.

The embedded SIM or eSIM that replaces traditional SIM cards is only 6x5 millimeters in size thus easily fits even into the smallest devices. And what is even more important is that customers will not need to request and install physical SIM cards into devices but it will be enough to download a user profile from the internet upon conclusion of the subscription contract.

The new technology, which is compliant with the GSMA’s (Global System for Mobile Communications - the biggest interest representation organization of mobile operators) recently approved international standard, offering high level of security, is now available in Hungary: Telekom will be the first operator that sells the Huawei 2 smart watch with embedded eSIM.  Over time this will be followed by further eSIM compatibe devices in Telekom’s portfolio as demand is expected to increase for the service independent from place and the device itself.

“The implementation of the eSIM technology is a huge step forward in the digital transformation which is of key importance in Hungary's regional competitiveness” - said Zoltán Pereszlényi, marketing and sales management director during the first virtual press conference in Magyar Telekom’s history.

He added: “based on our calculations within five years an average user will have 10 devices connected to a network thus over time more and more eSIM devices and services will be implemented. The spread of the new technology will bring better customer experience as subscribers may comfortably order and activate their mobile subscription online.”

Besides, the process of replacing traditional, physical SIM cards will also be simplified (e.g. when purchasing a new device that uses smaller cards) and this will improve efficiency on behalf of mobile operators, too. The new development is expected to have a significant impact on the future of the industry.

The implementation of the eSIM solution in the Hungarian market is currently the first step of a multilevel development process and for the time being it is launched as a pilot. Customers who would like to use an eSIM device instead of the traditional SIM card will receive an activation code in the form of a QR code.

When the device is connected to the internet through Wi-Fi it will download the operator's profile into the embedded SIM chip (eSIM) then activates the card and the services are immediately available. The eSIM will be available with an existing or new monthly subscription with the DuoNet option for residential customers and with the Tandem package for business customers.

For further details and information on the relevant terms and conditions please visit Telekom’s website.