Making sense of the latest IoT specifications

The global IoT landscape is expanding. According to GSMA Intelligence projections, there will be 5.8 billion cellular IoT connections by 2030, more than 37% of which will be powered by eSIM.¹ While the automotive industry is currently leading adoption, emerging use cases across smart cities, agriculture, supply chains, and healthcare are expected to accelerate demand.

But as the number of connected devices in circulation increases globally, so too does the complexity. Scale brings fragmentation. More devices, more use cases, more deployment models – all needing to be securely and reliably connected to mobile networks across different regions and regulatory environments. Interoperability is the thread that keeps this giant web of devices connected.

This is why industry standards are so important. “As IoT continues to expand across industries and geographies, a shared set of standards is needed to ensure devices can speak the same language,” says Claus Dietze, Senior Director Standardization, G+D. 

Without standards, the globally connected world we live in today would be impossible to imagine. Standards provide a shared framework that enables all these devices and networks to communicate effectively. They keep devices secure, reduce deployment and integration costs, and enable manufacturers to scale across all corners of the globe.

The evolution of IoT standards

As devices have become more sophisticated over the years, and new use cases for IoT have emerged, standards have had to evolve to keep pace. Early GSMA specifications such as SGP.02 were designed to enable remote SIM provisioning (RSP) in machine-to-machine (M2M) use cases – such as connected vehicles and industrial sensors – while SGP.22 enables eSIM profiles to be remotely pulled onto consumer devices such as smartphones, tablets, and wearables.

But neither of these specifications addressed the needs of large-scale, headless IoT deployments – that is, those without a screen or interface – such as smart meters and agricultural sensors, which operate autonomously, often in remote, hard-to-reach environments. This was the catalyst for SGP.32. 

First released in April 2024, SGP.32 was developed to enable eSIM profiles to be remotely downloaded via IP-based protocol, moving away from the SMS-based communication of SGP.02. This was an important step in streamlining the deployment of large headless M2M/IoT fleets globally with a single SKU, while simplifying connectivity management throughout the device life cycle. For example, if a device is deployed in a new region, the operator profile can be switched remotely without any physical swap of SIM cards or site visits. This flexibility reduces operational costs and enables truly global, scalable deployments.

As with all specifications, manufacturers, MNOs, and enterprises were hesitant to adopt SGP.32 until it reached a certain level of maturity. However, since the release of V1.2 in June 2024 (just three months after V1.1), SGP.32 is now considered commercially viable, and adoption is gaining traction across multiple industries.

In the automotive sector, for example, SGP.32 allows connected vehicles to use fallback and emergency profiles, keeping drivers safe and connected in areas with poor coverage while ensuring that manufacturers meet vehicle safety and compliance requirements.

However, as new features emerge, gaps in the specification are exposed that need to be filled to enable more sophisticated use cases. Version 2 of SGP.32, which is currently in development, is expected to unlock additional capabilities for the automotive industry. These include the following:

• Device-initiated profile switching: This allows the device to trigger a profile change based on connectivity performance.
• Multiple enabled profiles (MEP): This enables devices to hold and activate more than one profile at once. In connected cars, for example, one profile could handle safety functions such as eCall, while another manages infotainment or telematics.
• Hybrid^® UICC support: This provides greater flexibility for devices with varying hardware constraints. 

Solving the interoperability puzzle

Although SGP.32 has reached a stage of commercial maturity, its gradual adoption highlights the long-standing challenge in the IoT sector: interoperability. Addressing this is a continuous process of assessing the current market needs and reacting to the latest technologies, deployment models and use cases.

One such challenge involves the eSIM IoT Remote Manager (eIM), a back-end component that acts as a control center for remote provisioning IoT devices. Standards such as SGP.32 are designed to ensure components such as eIM communicate reliably with a wide range of devices, regardless of manufacturer, device type, deployment model, or network. However, different interpretations of specifications – particularly regarding how an eIM should behave or interact with other components – can create interoperability issues. 

The diversity of the IoT landscape adds further complexity. What works for an automotive OEM deploying connected vehicles may not work for a utility provider with a fleet of smart meters. Device types, battery constraints, and connectivity requirements vary from industry to industry – from the transport protocols used to ensure reliable transmission of data to the way profiles are managed and provisioned.

There is also the matter of deployment models. Some enterprises choose to implement the IoT Profile Assistant (IPA) directly on the device, while others embed it in the eUICC. Each approach has implications for latency, memory usage, and power efficiency, which can also be an obstacle to interoperability.

These challenges have led to a situation where many enterprises face a “now or later” dilemma. While some feel confident adopting new specifications based on early use cases, others remain cautious because of concerns about ecosystem readiness, compatibility with existing and legacy infrastructure, and return on investment.

At the same time, waiting too long can halt progress. Many interoperability issues only become apparent when systems are first used by customers in real-world environments. Early adoption is therefore necessary in order to identify and resolve these challenges as they arise.

This is why thorough testing and feedback loops between industry players and standardization bodies such as GSMA are so vital. It’s also important to avoid vendor lock-in situations, where manufacturers introduce proprietary features that lock out other ecosystem players.

Validating functional and security compliance with certification

To address the interoperability challenge at an industry-wide level, the GSMA introduced certifications as a way for ecosystem players – whether device manufacturers, MNOs, or software developers – to validate that functionality and security comply with specifications such as SGP.32. By unifying ecosystem players with a common set of interoperability and security criteria, the certification provides clarity around new specifications and can be a catalyst for adoption across industries.

In April 2024, G+D became the “first company to have its eUICC products certified as part of the eSA scheme.” As a long-time contributor to GSMA, G+D continues to play a leadership role in helping shape and test the implementation of evolving standards. 

This includes work to scale adoption of SGP.32, while simultaneously laying the foundations for the next evolution of IoT specification: SGP.42. 

What’s next: SGP.42 and the “born connected” device

SGP.42 is a new specification currently under development that will enable in-factory profile provisioning (IFPP). This means manufacturers will be able to install bootstrap profiles from the factory floor, allowing eSIM devices – both IoT and consumer – to connect immediately once deployed. Then, once in the field, SGP.32 can be used to download and activate the most appropriate profile based on local network conditions, if necessary.

On the surface, IFPP may seem like an incremental feature. After all, if devices can already be provisioned remotely, why do it in the factory? In fact, IFPP addresses a significant pain point when it comes to low-power headless devices. 

The process of remotely authenticating, downloading, and activating new eSIM profiles onto low-power devices, such as smart meters or environmental sensors, is a significant drain on battery power – often shortening a device’s lifespan by several years.

When scaled across fleets of thousands of units deployed all over the world, the cost of such power inefficiencies can quickly add up – both financially and environmentally. Provisioning eSIM profiles on the factory floor with SGP.42 can help mitigate this and thus help maximize the longevity of devices in the field. 

Other benefits of IFPP include the following:

• Streamlined manufacturing: with a single SKU, manufacturers can bulk-produce devices for global deployment, removing the need to produce different versions for different regional and connectivity requirements.
• Faster, zero-touch deployment: once shipped from the factory, devices arrive pre-provisioned and can connect immediately, reducing setup time and manual configuration.
• Lower provisioning cost and complexity: setting up connectivity earlier in the life cycle simplifies operations for manufacturers, operators, and enterprises alike.

It’s important to note that SGP.42 will not replace SGP.32. Instead, the two specifications are designed to work together, complementing each other across different stages of the device life cycle. IFPP takes care of connectivity at the point of manufacture, while RSP provides the flexibility needed to manage connectivity throughout a device’s operational life. 

SGP.42 is also still under development. The architecture and requirements for IFPP (SGP.41) were first published in February 2025, but the full technical specification (SGP.42) is not expected to be finalized until Q3 2026. Until then, SGP.32 will continue to mature – no doubt bringing plenty of fresh challenges as new use cases emerge. 

Keeping on top of these developments is a whole challenge in itself. It’s one thing to ensure compliance with new standards, but it’s another to continuously adapt as they evolve. Whether you’re a device manufacturer, MNO, or enterprise scaling IoT deployments, partnering with an expert can eliminate much of this complexity and accelerate adoption.

As a global connectivity leader, G+D is well-positioned to support IoT players in this journey, not only with its modular suite of IoT and eSIM solutions, but also as a GSMA partner with an active role in shaping the standards themselves.

Published: 06/11/2025