Renowned French technology company IDEMIA, well-known for its expertise in digital and physical SIM platforms and other identity-related security services, is preparing to enter the automotive sector in India on a large scale. With the expectation of a market of 30 million connected vehicles in India by 2025-26, including both internal combustion engine (ICE) and electric vehicles, IDEMIA is focused on providing its tech platforms to ensure vital vehicle connectivity to mobile telecom networks. The company plans to manufacture these SIM platforms locally in India, a move that would make a significant contribution to the growing automotive market in the country.
Local manufacturing is a crucial aspect of IDEMIA’s strategy, and its factory in India currently accounts for 10 percent of the global SIM capacity. By manufacturing the chips embedded in the product and importing only the wafers from fab plants, IDEMIA aims to further strengthen its presence in the Indian market. As the newly-approved fab plants become operational, the company plans to source the wafers domestically. Notably, over 60 percent of its production in India is exported to more than 50 countries, showcasing the international significance of its operations.
Philippe Oliva, CEO of IDEMIA Secure Transactions, highlighted the rapid growth in the automotive-connected vehicle market, emphasizing that the company holds a 40 percent share in the global market. He expressed strong ambition for IDEMIA’s role in the Indian automotive sector and highlighted the trusted source certification from the Indian government for the automotive platform, thus underlining the company’s commitment to quality and security.
Anticipating a substantial surge in connected vehicles in India, Oliva projected a market of 30 million connected vehicles, inclusive of cars and two-wheelers, by 2025-26. With an already established presence in Europe, where approximately 10 million connected cars are expected yearly, IDEMIA is poised to significantly expand its footprint in the Indian automotive market.
Moreover, IDEMIA’s emphasis on robust service agreements and incremental disaster recovery capability ensures the reliability of its digital e-SIM platforms, further underscoring the company’s commitment to delivering quality services. The company has made strides in the semiconductor industry by importing wafers and manufacturing chips in India, demonstrating its dedication to local manufacturing and technological advancement.
In the face of growing concerns about sovereignty and encryption, IDEMIA’s digital e-SIM offers a secure alternative to physical SIMs, providing the same level of encryption and security for its users. The company also envisions substantial potential in the smart meters sector, particularly with the government’s plan to install smart meters in over 150 million households. IDEMIA is actively pursuing opportunities in this sector, aligning its business strategy with the government’s vision for technological advancements in the country.
In essence, IDEMIA’s expansion into the Indian automotive sector with SIM technology signifies a significant leap towards strengthening the country’s automotive connectivity and technological infrastructure, poised to meet the demands of a rapidly evolving market. With its commitment to local manufacturing, emphasis on security, and foresight in anticipating market trends, IDEMIA is well-positioned to make a lasting impact in the Indian automotive sector.