Tuesday, March 27, 2012

Why does Apple Care About SIMs?

Apple has reportedly offered its design for a new and smaller format for subscriber information modules (SIM cards) to other mobile device makers that are part of the ETSI (European Telecommunications Standards Institute) without asking them to pay for it. 


Apple loves to control the entire experience of its products, and when it comes to the iPhone and now iPad, the biggest uncontrollable element is a customer’s wireless carrier. And having a say in the SIM card, in theory, pushes Apple closer to the long-term goal of controlling every aspect of its mobile devices, some might argue.

Also, credentials loading remains a competitive issue for would-be leaders of the mobile payments business, even though it would seem to be a mere technical detail. Mobile service providers prefer to use the subscriber information module, for the obvious reason that they control it.



Google Wallet uses a separate memory element, while many banks tend to prefer the use of a memory card.


For a bank, the slide-out memory card means all the credentials could be moved to a new phone as easily as sliding the memory card into the new device. That enhances the ability to retain a seamless relationship even when phones get replaced.


For Google, the embedded function provides more leverge for Google-compliant devices. SIMs are no "mere" technology issue.

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