Connectivity

What Is In-Factory Profile Provisioning?

January 21, 2025

Estimated reading time: 4 minutes

In-factory profile provisioning involves configuring a mobile network operator (MNO) profile in the SIM card of an Internet of Things (IoT) or consumer device during manufacturing. Provisioning could occur on the manufacturing side or later in the device configuration process before it is shipped to the end customer.

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The Downsides of Manual Profile Provisioning

eSIM above a stack of traditional SIM cards.

The traditional profile provisioning method requires IoT original equipment manufacturers (OEMs) to buy a preprovisioned SIM card from an operator or carrier. If it is a plastic SIM, they insert it into a finished device. If it is a solderable SIM, they solder it into a device’s printed circuit board (PCB).

A major downside of manual SIM provisioning is that it creates logistical issues. IoT OEMs must manage multiple SIMs from different MNOs. As a result, these companies have many stock-keeping units (SKUs) in their inventory, which increases issues like:

  • Operational complexity
  • Costs
  • Space requirements
  • Risk of errors

The Advantages of In-Factory Profile Provisioning

A digital representation of an eSIM.

In-factory profile provisioning allows IoT OEMs to focus on one SKU. They can provision the SIM at the end of the manufacturing line regardless of the operator. In-factory profile provisioning is advantageous for IoT OEMS with global deployments. It reduces the number of physical SIM cards in their inventory.

In-factory profile provisioning permits IoT OEMs to source SIM cards and modules from one vendor and provision them during manufacturing. This reduces overhead expenses while making lead times more predictable for greater adaptability and flexibility. Moreover, it enables more efficient sourcing strategies, increasing OEMs’ buying power.

In addition, companies don’t have to supply profiles in the field, which requires a process that consumes limited energy in battery-operated devices. Instead, they can provision profiles inside the factory, which doesn’t cost energy or battery power.

The Transition to iSIM

Many IoT OEMs plan to transition to iSIM in the future. With iSIM, modules and SIM cards will be a single physical component and not tied to a particular operator. iSIM’s nature underscores the need for in-factory profile provisioning to prepare for this transition.

Applications of In-Factory Profile Provisioning

A person makes a contactless payment using a smartphone over a card reader. Payment systems rely in in-factory profile provisioning for local MNOs subscriptions.

In-factory profile provisioning is ideal for applications that use multiple MNOs or carriers. For example, metering vendors delivering to multiple countries must implement an in-factory provisioning solution because every country will use different MNOs.

Payment system vendors will also need an in-factory profile provisioning solution to load local operator subscriptions. These systems are usually built in one country and deployed in another.

A manufacturer builds these components in other applications, such as routers and gateways. Then, a partner (e.g., a retailer) in the country of deployment installs it. In this case, the retailer, instead of inserting the SIM, will use an in-factory provisioning solution to provision the SIM before the gateways or routers are installed.

What Technologies Enable In-Factory Profile Provisioning?

There is no single standard that covers in-factory provisioning. Several technologies support in-factory profile provisioning. These include eUICC or eSIM, which pairs with remote SIM provisioning (RSP) services.

There are also numerous ways one could implement these technologies using GSMA specifications, such as:

The GSMA is also developing a unique standard for in-factory provisioning.

At Telit Cinterion, we believe it is best to rely on proven standards. This approach offers greater scalability and guaranteed acceptance from all ecosystem players, including:

  • SIM vendors
  • MNOs
  • OEMs
  • Cellular module vendors

Using GSMA standards removes needing a specific security audit and certification of the OEM’s production or configuration site.

Telit Cinterion’s Unique Provisioning Solution

The NExT™ eSIM in-factory provisioning solution, powered by Telit Cinterion, simplifies SIM logistics. This solution includes a software component and a server that hosts the customer and operator activation codes, supported by eSIM or eUICC. We provide all three components.

A person wearing a hard hat and safety glasses inspects machinery beside text promoting NExT in-factory profile provisioning for single-SKU deployments, highlighting fast setup and scalability.

NExT eSIM in-factory provisioning complies with existing GSMA specifications. However, the evolution of this solution will follow the next-generation specification, GSMA SGP.41. This update will enable resilient, fast profile provisioning for our customers. In the manufacturing sector, this speed can make an enormous difference.

See how NExT eSIM in-factory provisioning addresses your deployment challenges with a NExT eSIM provisioning kit.