Apple’s Next iPhone Could Spell Big Trouble for AT&T and Others


Olde Hornet

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Apple’s Next iPhone Could Spell Big Trouble for AT&T and Others

https://www.barrons.com/articles/ap...31245797?mod=yahoobarrons&ru=yahoo&yptr=yahoo

The next model of Apple’s (AAPL) iPhone, expected this fall, may have a surprise that’s more profound than a rumored orange color option.

Detail of Apple's iPhone X. ILLUSTRATION: APPLE INC.
It may be the debut of something called the “eSIM,” which could have very big implications for AT&T (T), Verizon Communications (VZ), Sprint (S), and T-Mobile US (TMUS).

The traditional “SIM,” or “subscriber identification module,” is that little plastic card that one sticks in a little tray in the side of a smartphone, or sometimes inside a slot located under the rear panel of the phone. The SIM identifies the phone to the cell tower; without it, you can’t get service.

The eSIM is not a card, it is a chip that can be soldered to the circuit board of the phone at the factory. The most obvious advantage is that it obviates the need for a tray, which means a device can be smaller. More important is that the eSIM is designed to be programmed remotely, “over the air.”
 
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