The global mobile roaming landscape is experiencing a significant upheaval which is driven by the rapid ascent of third-party travel eSIM providers.
While these digital-first solutions are lauded for their affordability and convenience, a new analysis by Counterpoint Research suggests that they are entering a high-growth phase fraught with intense competitive and structural challenges.
Travel eSIM downloads are projected to nearly triple by 2030, fueled by post-pandemic tourism, increasing adoption of eSIM-enabled smartphones (expected in over 80 percent of devices by 2030), and a consumer desire to ditch expensive legacy roaming plans.
Resellers are capitalising on this demand, offering data-rich packs that often cost half the price of traditional roaming.
Investor confidence is surging, with key players like Airalo and Holafly securing major funding and demonstrating massive revenue growth.
Many of these firms are now issuing thousands of eSIMs daily, supported by strategic partnerships with airlines and hotels to capture travelers early in their journey.
However, the easy-entry market has triggered a full-scale competitive counterattack, which the report identifies as the primary headwind.
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Roaming Discounts and In-House Apps
Mobile Network Operators (MNOs) worldwide are refusing to cede the profitable roaming market without a fight.
The report highlights that traditional telcos are aggressively revising roaming tariffs, introducing discounted regional packs, and launching their own pre-paid eSIMs for tourists.
They are developing proprietary travel eSIM applications, challenging resellers on their own turf.
“As MNOs ramp up their own travel eSIM offerings and roaming discounts, digital-first resellers face a critical window to scale and build trust before market consolidation intensifies,†the report stated.
Beyond the direct MNO competition, the market faces two other major hurdles which are fragmentation and the battle for customer trust.
Low barriers to entry have intensified competition, leading to frequent price wars and poor customer retention as users easily jump between apps for the cheapest short-term deal.
This fragmentation is compounded by the emergence of local and regional specialists who offer hyper-personalised connectivity packs, forcing global players to differentiate through service and reliability rather than just price.
The report noted that despite the financial benefits of resellers, most travelers will still opt for roaming packs from their home operators even by 2030.
This preference stems from the inherent assurances of number retention, reliability, and security that a home carrier provides.
