Reinventing Private APN for IoT

There's a massive volume of potential customers in the SME segment...automation is the key.
predictive maintenance. This is the perfect use case for providing a secure SD-WAN rather than one private APN connection. With an IoT CCS service, the car manufacturer can include partner companies in their SD-WAN to securely deliver their information through VPN. There may also be a need to have localized Internet. An IoT CCS service can potentially route the Internet traffic to the home country's Internet break-out to enable users to, for example, watch their Netflix content while abroad.

The automotive industry generally has skilled IT teams that want to do advanced integrations through APIs. This request is much easier to deliver on through a cloud-based service than trying to integrate with the mobile core. For special cases, mobile operators can even isolate delivery to a separate instance of the IoT CCS service.

Small and medium enterprises (SME)

The SME segment is the direct opposite of a car manufacturer in the sense that these companies may have no IT resources at all, and they might only have a handful of devices.

Take a small taxi and transport company as an example. They may run a few legacy systems that always need to have contact with the cars. These systems might have limited security functions if they have not yet been updated to current security requirements. They could benefit greatly from operator-managed security and delivering their traffic through a managed firewall.

There's a massive volume of potential customers in the SME segment, but each customer does not contribute much revenue. So, this is a volume game where automation is the key. To make it a profitable business, a mobile operator needs to automate the IoT connectivity service delivery to the SME market. Customers must be able to handle their own settings. For self-management to work, service providers must provide a super easy-to-use user interface in a portal or an app, with all the settings customers need.

The flexibility in integrating such user interfaces and the security provided by firewalls make an IoT CCS service ideal for this segment.


A customer may need to connect hundreds of thousands, maybe millions, of IoT devices such as electrical meters. The devices are simple and cheap, so they often lack security features. At the same time, these devices have a vulnerable position in people's homes. Thus, they need to be protected by firewalls and have the traffic delivered through enterprise VPNs. An IoT CCS service will potentially also be able to detect anomalies in traffic patterns.

Global transportation and logistics

An IoT CCS service can be a game-changer for global transportation and logistics if combined with the mobile operator’s ability to localize eSIM to international partner networks.

First, let’s look at an international transportation company with trucks frequently crossing borders. A mobile operator can connect all their partner MNOs to the IoT CCS service. The transport company will get a unified global secure connectivity. Where needed, this can be done without roaming using localization of eSIMs, while the mobile operator maintains the control. The truck will, for instance, maintain its IP address, policies, and security across borders even if the eSIM needs to be localized.

The benefit for global logistics is even higher. Imagine freeing working capital by storing only one version of the IoT device instead of individual versions for each country or region. Doing this under one mobile operator contract and still being able to apply the same security and policies, through the IoT CCS service, across the board is a unique value proposition. Add to this the possibility of allowing some of the traffic to break out in the local country and some routed home in secure VPNs.

In both cases mentioned, the mobile operator must go beyond roaming and localize eSIMs over-the-air (OTA) to local subscriptions. This will eliminate the issue of networks blocking customers’ IoT devices due to breaches of regulations and commercial agreements that prohibit permanent roaming.

The cost savings potential

An IoT CCS service is a vital component of what the analyst firm Transforma Insights calls “Hyperscale IoT Connectivity.” In this report, the firm states that an enterprise can save on average the equivalent of 27.8 percent of the cost of global IoT connectivity when using a mobile operator that offers hyperscale IoT connectivity. This equates to an astonishing $117 billion globally between 2020 and 2030. Consider this as 117 billion reasons why mobile operators should go hyperscale.


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