The management of a large number of connected devices, IoT (Internet of Things) sensors, and other connected assets inside enterprises present some interesting connectivity challenges that we must consider today. Just a few challenges are multiple vendors, lack of interoperability, fragmented SIM hardware, hardware standards, and more. All of this leads to slower rollouts, increased costs, and limited flexibility. Of course, this is just the tip of the iceberg.
It is a big iceberg too. Juniper Research has found operators will generate $30 billion from cellular IoT connectivity globally in 2030. This is a 74% jump from $18 billion in 2025. This is due to the rise in demand for operational efficiency and automation.
While the IoT brings great opportunities, there are also hurdles that need to be overcome—namely interoperability. There is lack of inoperability across all industries and in nearly all areas of work. Let’s look at just a few areas.
In 2020, NIST (National Institute of Standards and Technology) found engineers spent a significant amount of time addressing redundant design and production issues, leading to an estimated $8.4 billion cost, with an additional $3.8 billion for machinists.
A 2025 Accenture study noted only about 40% of industrial manufacturers have achieved high interoperability, with two-thirds citing technical complexity as a major hurdle. I could cite many more reports that highlight the reality that exists around the lack of interoperability—but the truth is most of us already know this is a big problem.
The good news is many of the technology companies do recognize the challenges that exist for large-scale IoT rollout in enterprises—and many of them are working together to provide solutions to businesses.
As an example, Tata Communications and Cisco are working together to help businesses connect, manage, and scale their connected devices. Here Tata Communications’ multi-generational, global eSIM orchestration solution will be embedded into Cisco’s IoT Control Center.
This will help activate and manage devices across SIM providers, accelerate time to market, provide visibility and control across layers of IoT deployment, and reduce integration efforts. The companies say the collaboration will benefit industries like transportation, logistics, and manufacturing.
While this is a step in the right direction—and other companies are taking similar steps—I would be hard pressed to say we are fragmented no more. Fragmentation and lack of interoperability is something we have been talking about since the early days of M2M. The need for standards and integration is something I have been sounding loudly for decades.
While the need for standards has been necessary, the bottomline often gets in the way. The challenge is profits often drives decisionmaking—and there is a lot of profit to be had in the cellular IoT connectivity space—and sometimes that means lack of interoperability lives on.
Customer demand and a greater demand for collaboration are proving to be essential. Thus, I am always glad to see new partnerships and alliances aim for greater interoperability when it comes to the IoT. The reality is if we can move to a more connected world, it will be better for everyone involved.
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