A Business Guide to IoT Connectivity: From Multi-Network eSIMs to Smart Site Management

The Internet of Things (IoT) is transforming how UK businesses operate by connecting everything from security cameras and delivery vehicles to manufacturing equipment and environmental sensors. For businesses, this network of smart devices offers huge potential to improve efficiency, cut costs, and make better decisions. With the number of cellular IoT connections worldwide projected to surpass four billion, ensuring these devices remain reliably and securely online is a significant challenge.

Business IoT connectivity is the technology that allows these devices and sensors to communicate with each other and with central systems automatically, without needing human involvement. This network can use various technologies - including WiFi, Bluetooth, and cellular networks like 4G and 5G - to transmit data and create an ecosystem where devices can perform tasks on their own, providing real-time data that businesses can use to automate processes and gain valuable insights.

Why Your Standard Business SIM Won't Work for IoT

Whilst it might seem tempting to put a standard mobile phone SIM card into an IoT device, this is not a suitable long-term solution for a professional deployment. The differences between consumer and IoT-specific SIMs are significant, much like the differences we explore in our guide, The Difference Between Business and Personal Mobile Contracts. Here’s why a standard SIM falls short:

• Cost and Billing: Mobile phone plans are designed for high data usage, including voice and SMS, which doesn’t match the low-bandwidth needs of most IoT devices. This can lead to businesses overpaying for services they don’t use, and billing for thousands of individual devices becomes incredibly complex.

• Durability and Lifespan: Standard SIMs aren’t built for the harsh conditions where IoT devices often operate. IoT SIMs are ruggedised to withstand extreme temperatures (from -40°C to +105°C) and have a longer lifespan of 5-10 years, compared to the typical 3-year lifespan of a consumer SIM.

• Management and Scalability: IoT deployments can involve hundreds or thousands of devices. IoT-specific SIMs come with management platforms that allow businesses to monitor data usage, troubleshoot issues, and manage devices remotely from a single interface. This level of control isn’t available with standard SIMs.

• Security: IoT devices can be a weak point for cyberattacks. IoT SIMs offer enhanced security features like private networks and VPNs to protect sensitive data, which are not standard on consumer SIMs.

• Connectivity and Roaming: A consumer SIM is locked to a single network, which is a problem if a device is in an area with poor coverage. For businesses with mobile assets or devices in remote locations, standard SIMs can also incur high roaming charges.

The Solution: Multi-Network SIMs and eSIMs Explained

To address the limitations of standard SIMs, the industry has developed more robust solutions like multi-network SIMs and eSIMs. It’s important to understand the difference between them.

Multi-Network SIMs

A multi-network SIM is a physical SIM card that is not tied to a single provider like EE, Vodafone, O2, or Three. Instead, it can automatically switch to the network with the strongest signal in any given location. This provides greater resilience and is particularly useful for mobile assets like delivery vehicles or for fixed devices located in areas with patchy coverage from any single network.

eSIMs (Embedded SIMs)

An eSIM, or embedded SIM, is a digital SIM that is built directly into a device’s hardware, eliminating the need for a physical, plastic card. The key feature of an eSIM is that it can be provisioned and managed remotely, over the air. This means a business can activate or change a connectivity plan without having to physically access the device to swap out a SIM card. An eSIM can be programmed with a multi-network profile, giving it the roaming capabilities of a multi-network SIM combined with the flexibility of remote management. For a deeper dive into this technology, see our guide, A Guide to eSIMs for Business.

Common UK Business Use Cases for IoT

UK businesses are already using IoT technology across a wide range of industries to improve their operations:

• Logistics and Fleet Management: Real-time vehicle tracking, route optimisation, and monitoring driver behaviour.

• Manufacturing: Predictive maintenance to anticipate equipment failures, quality control, and supply chain optimisation.

• Healthcare: Remote patient monitoring and tracking of medical assets.

• Agriculture: Using sensors to monitor soil moisture, weather conditions, and crop health to improve yields.

• Retail: Real-time inventory management and using beacons to send targeted promotions to customers in-store.

• Energy and Utilities: Smart meters and monitoring of energy infrastructure like EV chargers and solar inverters.

• Construction: Monitoring equipment on remote sites and providing connectivity to temporary site offices.

How to Choose the Right IoT Connectivity Plan

When selecting an IoT connectivity plan, businesses should consider several key factors to ensure it meets their specific needs:

• Data Usage: Evaluate how much data your devices will consume. Some applications, like video streaming, are data-intensive, whilst others, like simple sensor readings, use very little.

• Geographic Coverage: Ensure the plan provides reliable connectivity in all the locations where your devices will be deployed, including any international requirements.

• Scalability: Choose a plan that can grow with your business as you deploy more devices. Pooled data plans, which we cover in our A Guide to Shared and Pooled Data Plans, can be particularly cost-effective.

• Security: For devices handling sensitive data, look for plans that offer features like private networks and VPNs.

• Management Platform: A good connectivity management platform will provide visibility and control over your entire fleet of devices, with features for monitoring usage, setting alerts, and troubleshooting.

• Cost: Balance the features you need with your budget. Look for flexible pricing models designed for IoT, such as pay-per-use or pooled data plans that are shared across all your devices.

How Much Does Business IoT Connectivity Cost?

The cost of business IoT connectivity varies significantly based on the factors listed above. Unlike consumer mobile plans, business IoT pricing is structured for scale and specific use cases. For example, some providers offer pay-as-you-go models with rates around £0.005 per MB of data and a small daily fee of £0.01 for each active SIM. Business plans often involve pooled data allowances that can be shared across thousands of SIMs, bringing the per-device cost down. The final price will depend on the number of devices, total data usage, and the level of management and security features required, so it’s always best to get a specific quote.

The PSTI Act 2022: New Security Rules for Your Connected Devices

The Product Security and Telecommunications Infrastructure (PSTI) Act 2022 is a landmark piece of UK legislation that introduces new security requirements for businesses that manufacture, import, or distribute ‘consumer connectable products’ - a category that includes many IoT devices. The law came into force on 29 April 2024, making security-by-design a legal requirement.

The core requirements of the PSTI Act are:

1. Ban on Default Passwords: Products must not come with universal default passwords like ‘admin’ or ‘password’. Instead, they must require the user to set a unique password.

2. Vulnerability Disclosure Policy: Manufacturers must provide a clear and accessible way for security researchers and the public to report security vulnerabilities.

3. Transparency on Security Updates: Businesses must be transparent about the minimum length of time a product will receive security updates.

The Act applies to manufacturers, importers, and distributors of these products. Non-compliance can result in significant fines of up to £10 million or 4% of the company’s global turnover. Enforcement is handled by the Office for Product Safety and Standards (OPSS), and businesses must provide a ‘statement of compliance’ with their products. Note that some products, such as medical devices and dedicated electric vehicle charging points, are exempt as they are covered by other regulations.

Conclusion: Plan Your Connectivity Before You Deploy

The growth of IoT offers huge potential for UK businesses to become more efficient and innovative. However, the success of any IoT project hinges on reliable and secure connectivity. Simply using a standard business SIM card is not a viable option for a professional IoT deployment. By understanding the differences between multi-network SIMs and eSIMs, and by carefully considering the data, coverage, and security requirements of your specific use case, you can choose a connectivity plan that is fit for purpose. With the new legal requirements of the PSTI Act, planning for security from the outset is no longer just good practice - it’s the law. Taking the time to plan your connectivity strategy before you deploy your devices will save you time, money, and potential security headaches in the long run.