4 smartcard

4. Easing Logistical Issues
All subscribers may easily personalize and depersonalize their mobile phone by simply inserting or removing their smart cards. The card’s functions are automatically enabled by the electronic data interchange (EDI) links already set between carriers and secure personalization centers. No sophisticated programming of the handset is necessary.
By placing subscription information on a SIM card, as opposed to a mobile handset, it becomes easier to create a global market and a distribution network of phones. These noncarrier-specific phones can increase the diversity, number, and competition in the distribution channel, which can ultimately help lower the cost of customer acquisition.
Smart cards make it easier for households and companies to increase the number of subscriptions, thereby increasing usage. They also help to create a market for ready-to-use preowned handsets that require no programming before use.
Additionally, managing fraud is also eased by smart cards. In a handset-centric system, if a phone is cloned, the customer must go to a service center to have the handset reprogrammed, or a new phone must be issued to the customer. In a smart card–based system, the situation can be handled by merely issuing a new card; customers can continue using their current phones. The savings in terms of cost and convenience to both carrier and customer can be substantial.