I'm not so sure about only having a Digital SIM. Does the user have anyway of changing out a digital SIM, or is it in the full control of the cellphone service carrier? Granted I don't claim to fully understand Digital SIM, and what benefits it might have.
Maybe it is just my generally poor experience with AT&T service online and in store ?
eSIM is within control of the
new carrier - a new eSIM can over-write an existing eSIM from another carrier (actually, the iPhone can store multiple eSIM data sets - only one of which can be loaded at a time). So, if I read your comment correctly... eSIM cannot be used by a carrier to prevent a user from switching to another carrier.
For clarity, eSIM stands for "embedded SIM" - the carrier configuration data that is stored in a SIM is stored in a memory chip built into the phone, rather than a separate memory chip in the SIM card.
Given the privacy issues of eSIM, I don’t think so. That’s the whole of point of why some countries don’t allow eSIM. But Apple gets a cut of eSIM carrier revenue, so it’s possible they’ll try to force it.
I'm not familiar with any privacy issues. Both physical and eSIM identify the phone as a subscriber to a particular cellular carrier. I'm not aware of any additional information contained in an eSIM that isn't present in a physical SIM.
I suppose loss of privacy could come into play because the registration of an eSIM will always involve the carrier in some way, with the registration process presumably requiring identification of the user. In the case of pre-paid physical SIMs purchased off a display in a shop (where the carrier never knows the identity of the user), this could eliminate user anonymity.
I'm also not aware of how/why Apple could demand a cut of carrier revenue simply for the use of eSIM. I wouldn't be surprised if there was a one-time fee - eSIM can save carriers a fair amount of money, so a "convenience fee" from Apple for accessing eSIM seem quite plausible. But "cut of eSIM carrier revenue" suggests an ongoing percentage of service revenue. Considering the one-time benefit of eSIM and the ease of opting out of using eSIM at all, I don't see carriers agreeing to pay Apple any kind of ongoing percentage for this capability.
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Overall, I do see the end of physical SIM at some point in the future - it adds cost and manufacturing complexity to a phone, and carriers save money and reduce handling (no need to insert their SIMs into carrier-sold phones, no need to purchase blank SIMS, program, package, and distribute SIMs to all their shops, etc.). I just don't see the physical SIM disappearing within the next two years - the current state of approval/acceptance by carriers and governments argues against it.
FWIW, Apple Watch is eSIM-only.
What I can see within two years is the ability to operate an iPhone with two
active eSIMS. I'd guess that it would still have a physical SIM as well - a user would still have no more than two lines configured for active use, with the user choosing those from a menu of various eSIMs and the physical SIM.
Overall, I think carriers would embrace this vision - the more ongoing subscriptions a user might have loaded onto a phone, the better (like multiple streaming media subscriptions). Business, personal, private, international travel... Every carrier having a chance to provide one or more of those subscriptions (or even pre-paid plans), with much of the paid-for service going unused because, after all, there's only so much time in the day.