China Effect: Why Indian Telcos Struggle to Push eSIM Adoption
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Despite building a nationwide ecosystem that promises cost savings, convenience, and better connectivity, Indian telecom operators face a decade-long roadblock in eSIM adoption—courtesy of Chinese resistance.
By SANJAY SINGH
NEW DELHI, October 1, 2025 — Indian telecom companies have long pushed for the adoption of eSIMs over physical SIM cards, building a pan-India ecosystem that promises cost efficiency, convenience, and improved call quality—a win-win for both providers and subscribers. Yet, strangely, this transition has faced a decade-long roadblock, courtesy of the Chinese government.
Indian telecom companies have been for long advocating for wider eSIM adoption, in smartphones. They argue that eSIMs can lead to cost reductions and improved call quality.
According to Airtel CEO Gopal Vittal, speaking earlier this year in a message to subscribers, eSIMs bring significant advantages. He emphasized their convenience, noting that in today’s digital-first lifestyles—where mobiles, tablets, and smartwatches are interconnected—eSIMs provide truly seamless connectivity.
Telecom industry understands the costs associated with eSIM technology decrease and the supply chain improves and so more manufacturers will incorporate eSIMs into their affordable models as well.
Despite China’s resistance to eSIMs citing security concerns and playing a spoiler, global mobile manufacturer, Apple is going ahead with ditching physical SIM slot with eSIMs in their newly mobile handsets in many countries with iPhone 17 Series.
Apple had recently this month unveiled its iPhone 17 series on September 9. According to MacRumors, Apple has started e-SIM related training at its Authorized Resellers in several countries hinting that the iPhone 17 series may eliminate physical SIM slots in more countries.
However, the transition may not be universal. Reports indicate that certain markets, such as China, will retain physical SIM slots due to regulatory resistance to eSIM adoption.
The tech giant has reportedly mandated and enforced completion of eSIM-related training at Apple Authorised retail outlets in the European Union, indicating that the iPhone 17 series may eliminate physical SIM card slots. This training is being held in the 27 EU countries, including France, Germany, Italy, Spain, and the Netherlands. The same activity is expected in India soon, according to industry sources.
Currently, only 20-25% of smartphones sold in India supported eSIMs, with projections suggesting a gradual increase to 20% over the next five years. This is in contrast to the U.S, where eSIM penetration has reached over 70 per cent.
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