Less than ten years ago, digital SIM cards were a niche product, emerging alongside the growing concept of the Internet of Things, which connects various devices to the internet. Google pioneered the eSIM-enabled smartphone, and in recent years, major manufacturers such as Samsung and Apple have adopted eSIMs as standard, moving away from traditional physical chips.
Investors in Airalo are confident that this is just the beginning. According to a managing partner at the private equity firm CVC, which led the investment round, the digital travel eSIM market, currently valued at $1 billion, is still in its infancy but is poised to become the primary method for consumers to enjoy high-quality experiences abroad at a reduced cost.
Airalo, an early entrant in this burgeoning industry, now faces competition from other eSIM platforms like Holafly, based in Dublin, and satellite broadband providers such as Elon Musk’s Starlink.
