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Transforma Insights study finds In-Factory Profile Provisioning (IFPP) has key role in streamlining SIM management for connected products

FEB 22, 2024
region: ALL vertical: ALL Internet of ThingsHyperconnectivity

Leading IoT industry analyst firm, Transforma Insights, has published a Transition Topic Position Paper, sponsored by Kigen, looking at how IFPP is a great asset when embedding cellular SIM profiles into Internet of Things (IoT) and other connected devices, simplifying supply chains, reducing operational costs and improving in-field operational performance.

Transforma Insights has today published a free Transition Topic Position Paper, sponsored by Kigen, ‘In-Factory Profile Provisioning (IFPP): new eSIM approach drives profitability and improves product performance in connected electronics manufacturing’. IFPP is a mechanism for the secure loading of mobile network SIM profiles during the manufacturing and/or order fulfilment process based on characteristics such as the device capabilities or the geographic location into which it is expected to be deployed. The use of IFPP removes the need to manually fit plastic SIM cards into each device and offers an alternative to in-field provisioning which may not be appropriate for many forms of device. In recent months there has been additional focus on IFPP as a GSM Association working group is developing a standard (SGP.41/42) as part of its eSIM/remote SIM provisioning standardisation activities.

The benefits of IFPP can be categorised in terms of improving the in-bound and out-bound logistics associated with SIMs (including removing the need to maintain and manage a large inventory of plastic SIM cards), streamlining the process of applying the SIM profile (for instance by removing the manual step of inserting a card), and reducing the power consumption associated with in-field provisioning. This is particularly valuable for power-sensitive applications, such as smart water and gas metering, and for large scale electronics manufacturing where any improvements in process efficiency have an impact on the bottom line.

The key findings of the report are:

  • In-Factory Profile Provisioning (IFPP) offers volume electronics manufacturers multiple mechanisms for improving profitability and competitiveness, and making a better end product. Cost savings in production/fulfilment will have a notable impact on cost of operations, while reduced power consumption might make the difference between a product that meets deployment requirements and one that doesn't.
  • Volume manufacturers of cellular connected electronics devices will almost certainly benefit from the use of IFPP. The move from plastic SIM to eSIM is well under way, but there are still options for where provisioning happens, in field or in factory. The report highlights many examples where in-factory provisioning makes the most sense.
  • Connectivity providers need to adapt to the needs of manufacturers. The arrival of IFPP is in reaction to a real need from volume manufacturers for a more appropriate approach and they will embrace the new technology. Connectivity providers need to support the capability.
  • IFPP is particularly relevant for deployments that are power-constrained. Any cellular-enabled IoT device that runs on batteries will be, by definition, power-constrained and will benefit from eliminating the need for power-hungry in-field provisioning.
  • You don't really need a standard to benefit from IFPP. There are standards coming for IFPP in the form of SGP.41/42. However, in the same way that pre-standard versions of SGP.02 and SGP.32 have pre-empted the arrival of the standard, in the case of IFPP a non-standard approach is also valid. In fact, it is even more valid because the deployment is in a closed and highly managed environment, and manufacturers may be actively looking for their own 'special sauce' differentiator.

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Commenting on the report, author Matt Hatton said: “Electronics device makers are increasingly adding cellular connectivity to their products, but the provisioning of appropriate SIM profiles continues to be a headache, either necessitating swapping of plastic SIM cards or the management of in-field provisioning. Into that environment, a new approach has surfaced: In-Factory Profile Provisioning (IFPP), a variant on eSIM and Remote SIM Provisioning (RSP). For volume electronics manufacturers, the ability to more efficiently manage the connectivity of a huge estate of devices, being delivered to every corner of the world, has substantial implications for profitability. This is particularly magnified by the changing dynamics of the manufacturing sector. In this report we examine the use of eSIM/RSP by product manufacturers, particularly focusing on IFPP as a mechanism for increasing efficiency in the production process and improving the functionality of connected products.

Vincent Korstanje, CEO of Kigen, the sponsor of the Position Paper, says: “Kigen is at the forefront of helping OEMs and ODMs to manufacture and provision their cellular connected devices for in-field deployment. By injecting root of trust keys into secure IC and cellular chipsets early on in the supply chain, along with the timely insertion of In-Factory Provisioning solutions, we help electronics manufacturers streamline the enablement of cellular connectivity in their workflows and deliver better and more cost-effective products at scale.

Representatives of Transforma Insights and Kigen will attend Mobile World Congress in Barcelona from the 26th to 29th February 2024 and will be available to discuss In-Factory Profile Provisioning. Please get in touch if you would like to arrange a meeting.

About the Position Paper

The Transforma Insights Position Paper, sponsored by Kigen, looks at a key change happening in SIM provisioning, specifically the growing interest in In-Factory Profile Provisioning. The report starts by exploring the motivations for making use of IFPP to streamline supply chains for volume electronics manufacturers that are increasingly making use of cellular connectivity in their products. We then consider the wider concept of eSIM and remote SIM provisioning, of which IFPP is one variety, as well as considering the new GSMA standard for IFPP SGP.41/42. The report goes on to consider the benefits of using IFPP, including reducing logistics and manufacturing complexity and power saving, as well as delving into four key IoT/connectivity verticals - smart metering, automotive, fixed-wireless access, and consumer electronics, to look at the ways in which IFPP will be valuable.

The report is free to download here: ‘In-Factory Profile Provisioning (IFPP): new eSIM approach drives profitability and improves product performance in connected electronics manufacturing’.


About Transition Topics

Transforma Insights has identified a series of aspects of the Internet of Things that are going through a period of fundamental transformation. These IoT ‘Transition Topics’ are the subject of Position Paper reports and Virtual Briefings identifying the key aspects of change and how organisations should position themselves to be best placed to realise the opportunities generated.

About Transforma Insights

Transforma Insights is a leading research firm focused on the world of Digital Transformation (DX). Led by seasoned technology industry analysts we provide advice, recommendations and decision support tools for organisations seeking to understand how new technologies will change the markets in which they operate.

For more information about Transforma Insights, please see our website or contact us at Follow us on Twitter/X or LinkedIn

About Kigen

Kigen is the forerunner in eSIM and iSIM security-enabled IoT solutions built for scale. An Arm-founded company, Kigen flexibly empowers OEMs with security on leading IoT chipsets and modules and with the world's leading IoT and LPWAN connectivity providers in up to 200 countries. Our industry-leading SIM OS products enable over 2.5 billion SIMs and complement our GSMA-accredited Remote SIM provisioning secure service capabilities.

Find out more at or join our #FutureofSIM conversation on LinkedIn.