Insight
Navigating Permanent Roaming for IoT: Challenges and Solutions
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August 23, 2023
- The growing IoT ecosystem has brought forth its own set of challenges. One such challenge is permanent roaming.
- While many countries allow permanent roaming without significant constraints, some big countries have implemented limitations on this practice.
- There are multiple ways to circumvent the problem of permanent roaming. These include eSIM, Multi-IMSI, aggregator platforms, and dynamic network selection algorithms.
Countries that prohibit permanent roaming include India, China, Brazil, Saudi Arabia, Egypt, Nigeria, Turkiye (formerly Turkey), UAE and Singapore. Besides, mobile operators in the US, Canada and Australia have imposed restrictions on permanent roaming within their networks, effectively imposing a ban on this practice in these countries. Remarkably, these 12 countries collectively cover more than 50% of the world’s population and account for well over three-quarters of the IoT market.
Challenges posed by restrictions on permanent roaming
IoT devices are typically deployed on a global scale, leading to a complex scenario where these devices are connected to multiple mobile network operators (MNOs) across different countries. Imagine an electric car company that markets its vehicles across various regions. In countries where permanent roaming is not allowed, the company must procure local connectivity. This situation presents a host of challenges that ripple through the operational landscape:
- Complex network management: Handling connections to multiple networks becomes really complex. Each network might have different prices, coverage areas and technical needs. The process of harmonizing such distinct facets is likely to be intricate and time-consuming.
- Dealing with many partners: The company needs to work with different network partners. This means making deals, managing money and ensuring good service quality across networks. Besides, multiple networks means multiple bills and contracts. All of these tasks together can become very complicated and hard to manage as this activity is not core to the business.
- Higher costs: Because of the rules against permanent roaming, the company has to pay more money to set up connections in each country. This extra cost can make things difficult and might affect how much the company can grow.
- Less flexibility: Without the ability to use permanent roaming, the devices might not work as well when they move between countries. This can be a problem for customers who expect a consistent experience.
- More planning needed: Since the company can't rely on the same connection everywhere, it needs to plan ahead. This can slow things down and make expansion harder. There could be issues related to data sovereignty and compliance that may require additional planning.
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Author
Mohit Agrawal
Mohit is responsible for tracking Digital Transformation and Internet of Things (IoT) at Counterpoint Research. He has over two decades of rich industry experience having worked with large tech companies like Accenture, Airtel, Nokia, and Microsoft in the past. Before joining Counterpoint, Mohit was the co-founder & CEO of a start-up in the competitive and market intelligence space utilizing big data and AI. He is a keen follower of the developments in devices and key internet technologies like IoT, Blockchain, AI, etc. Mohit is an engineer, MBA and a certified project management professional. He is based out of The Hague in Netherlands.