Truecaller gets into the eSIM business to diversify its revenue streams

Truecaller, known for its caller ID services, has officially ventured into the world of eSIM offerings aimed at travelers. This strategic launch is part of the company's broader initiative to strengthen its financial standing and diversify its revenue streams amidst declining advertising income. The eSIM plans introduced by Truecaller cater to a range of needs, offering options from 1 GB for a duration of 7 days to 20 GB over a 30-day period. Initially, these services will be available in 29 countries, including popular destinations such as Italy, Sweden, Spain, and the United States. However, the absence of India from this list is notable, likely due to stringent regulations governing telecommunications in the country, which have previously led to the blocking of services like Airalo and Holafly. To facilitate this new eSIM platform, Truecaller has partnered with Telna, a global provider of cellular connectivity, along with telecom software firm Telness Tech. While other competitors such as Airalo and Holafly are already established in the market, Truecaller is confident that its extensive user base of over 500 million will provide a significant advantage in attracting new customers. In a recent email to TechCrunch, Truecaller’s Chief Operating Officer, Fredrik Kjell, highlighted that unlike its competitors who started from scratch, Truecaller is leveraging its existing app, which is trusted by millions of users. This established relationship not only aids in distribution but also influences pricing strategies, potentially giving Truecaller an edge in the competitive eSIM market. This development comes at a crucial juncture for Truecaller, which recently announced a workforce reduction of 70 employees across various departments, following disappointing financial results for Q1 2026. The company's net sales plummeted by 27% to 362 million SEK (approximately $39.34 million), with advertising revenues down by 44%. In response to these challenges, Truecaller is focusing on boosting subscription revenues through features like AI Assistant and Family Protection. As the adoption of eSIM technology continues to grow, particularly among travelers, additional services like these could open up new revenue channels for the company. The increasing interest from investors in eSIM startups further underscores the potential of this market, with several companies raising significant funds in the past year.