Travel eSIM: Industry Threat or Missed Opportunity?

The narrative surrounding travel eSIMs in the roaming wholesale industry has largely been framed around fear - loss of control, declining revenues, and disintermediation. With predictions of 268 million travel eSIM users by 2028 and an anticipated $3.9 billion hit to operator-led roaming revenues, it’s easy to see why Mobile Network Operators (MNOs) might feel under siege. 

But is this shift truly the end of the road for wholesale roaming? Or is it a wake-up call to evolve? 

“The industry can either view travel eSIM as a race to the bottom, or a signal to modernise”

Like many disruptive technologies before it, travel eSIM isn’t a death sentence - it’s a test. And for operators willing to adapt, it could become a catalyst for innovation, new partnerships, and sustainable revenue growth. 

eSIM: The Uncomfortable Truth

Let’s get real: Travel eSIMs are not a perfect solution.

From the outside, travel eSIMs seem unstoppable: Digital, convenient and competitively priced. They allow travellers to download connectivity as easily as an app - cutting out the traditional SIM, avoiding physical stores, and side-stepping legacy onboarding experiences. 

But here’s what the glossy marketing doesn’t show: the significant challenges these providers face.

For eSIM vendors, the road to scale is bumpy: 

• Acquisition costs are high in a crowded marketplace with very little brand loyalty. 

• Retention is fragile – customers can (and will) churn between trips. 

• App development, customer support, and KYC (Know Your Customer) compliance demand constant investment. 

• Pricing pressure and data costs eat into margins, while coverage and quality remain hit-or-miss in many destinations. 

And let’s not forget the customer experience hurdles. From device compatibility issues and clunky activation processes to limitations on receiving SMS or accessing support abroad, travel eSIMs are far from frictionless. 

In short: providing a global digital connectivity service is hard. And that’s precisely where traditional operators have the upper hand - if they choose to leverage it. 

The Outbound Opportunity: Own the Digital Journey

Operators often frame eSIM as a threat, as it bypasses their retail distribution and decouples the customer relationship. But what if they embraced the same tools? 

Why shouldn’t operators offer their own travel eSIMs to domestic customers heading abroad?  This isn't just defensive play - it’s an opportunity to own the digital travel journey: 

• Partner with airlines, travel agencies, and hotels to embed travel eSIM into the trip-planning experience. 

• Build brand loyalty by offering seamless roaming alternatives tailored to customers' destinations. 

• Upsell additional services - local content bundles, travel insurance, concierge support - through the same digital channel. 

Instead of letting aggregators “own” the relationship, operators can extend their reach and become travel tech players within their own right. 

The Inbound Play: Become the Anchor Network 

Let’s flip the coin. While outbound revenue might decline, inbound roaming has its own transformation story. Yes, global eSIM providers are skirting traditional roaming agreements. Yes, there’s growing price pressure. But... there’s also a massive untapped opportunity for operators to reposition themselves. 

Instead of defending legacy deals, MNOs can become the preferred local anchor network for eSIM traffic. 

OK this all sounds great – but how? 

• Sell wholesale access directly to eSIM aggregators who need local coverage. 

• Offer digital eSIM onboarding for inbound tourists, complete with premium features like video streaming passes, sports coverage, or local loyalty perks. 

• Differentiate through regulatory compliance, QoS guarantees, and local support. 

By turning inbound roaming into a digital storefront, operators can monetise tourists in new ways - while maintaining network control. 

The Strategic Shift: From Threat Response to Revenue Reinvention 

Travel eSIMs are part of a broader trend: connectivity is becoming more fluid, more programmable, and more consumer driven. That shift is uncomfortable for operators used to decades of control - but it’s also an opening.

Operators who cling to legacy models will lose relevance. Those who innovate will find new ways to win. 

The path forward requires rethinking the operator role: 

• From gatekeepers of connectivity to curators of travel experiences. 

• From reactive infrastructure providers to proactive ecosystem orchestrators. 

• From wholesale price defenders to customer-centric service creators. 

It’s about going from "we’re losing traffic" to "we’re gaining customers in new ways." 

What Happens Next? A Call to Action for Operators

The industry can either view travel eSIM as a race to the bottom, or a signal to modernise. Here's where operators can start: 

• Launch or partner on a travel eSIM offering: Using brand, coverage quality, and regulatory compliance as selling points. 

• Package roaming with lifestyle experiences: Think beyond data: offer music, entertainment, or location-based perks.

• Open up to eSIM aggregators: Treat them as a new B2B channel, not just competition. 

• Invest in travel-specific digital onboarding flows: Make it easy for inbound visitors to find and activate local eSIMs from your network. 

• Invest in the systems that allow you to detect travel eSIM: For both inbound and outbound.

Final Thoughts: It’s not the eSIM, It’s the strategy 

The story of travel eSIM is still being written. But one thing is clear: it won’t kill roaming. It will reshape it. 

Operators who respond with vision, rather than fear, can seize new growth opportunities, build stronger traveller relationships, and transform wholesale roaming into something future-proof. 

Travel eSIM isn’t the end of roaming. It’s the beginning of a smarter, more flexible, and more competitive era. 

The only question is: Who will lead it?