Kigen Positions IoT Manufacturers for Competitive Advantage Under EU Cyber Resilience Act
SHANGHAI, CHINA — At the MWC IoT Summit 2026, Kigen highlighted the EU Cyber Resilience Act (CRA) as a transformative opportunity rather than a compliance burden for manufacturers. Jean-Louis Carrara, Senior Vice President of Global Sales at Kigen, emphasized that those who act swiftly will gain a structural competitive advantage in the evolving landscape of IoT security.
The staggering annual cost of cybercrime to the global economy is estimated at $5.5 trillion, a figure that surpasses the GDP of all nations except the United States and China. This crisis stems from the widespread deployment of billions of connected devices lacking robust security measures.
The Regulation That Changes Everything
The EU Cyber Resilience Act represents a landmark in cybersecurity legislation, encompassing over 90% of IoT products that include digital components—ranging from sensors and gateways to consumer devices. Under this regulation, manufacturers are mandated to provide security updates throughout a product’s five-year lifecycle, report confirmed security incidents within 72 hours, and implement security by design from the product development phase. Non-compliance can result in fines of up to €15 million or 2.5% of global annual turnover.
Documentation requirements and vulnerability management obligations are already in effect as of September 2026. For any product currently in development or scheduled for market entry in 2027, compliance is an immediate necessity rather than a future concern.
“Security is no longer a cost to be minimized. It is an investment in market access, competitive standing, and long-term resilience,” Carrara stated during his keynote.
Market Access as Competitive Advantage
Independent analyses estimate that the average cost of compliance with the CRA is approximately €100,000 per product line. Given the potential for penalties reaching €15 million, the financial rationale for compliance is clear. Carrara pointed out that as compliance requirements intensify, access to the EU market will become increasingly selective, creating a structural advantage for those prepared to meet these standards.
This shift in perspective is crucial; security is not merely a barrier to market entry but a gateway to the world’s most demanding and lucrative markets.
Proof at Scale — and Under Pressure
Kigen’s eSIM technology operates across more than 250 terrestrial and satellite networks globally, supporting hundreds of millions of devices. While the company has decades of experience in real-world applications, Carrara noted that scale alone does not equate to trust.
Trust is tested in critical situations. When significant vulnerabilities were discovered in eSIM frameworks across the industry, Kigen acted within 72 hours to develop and share a patch openly, collaborating with the GSMA and adhering to ENISA disclosure guidelines.
“We did not wait for regulation to demand it. We acted because it was right — and because the industry’s security is only as strong as its weakest point,” Carrara explained. He emphasized that Kigen’s proactive measures supported a coordinated industry response to mitigate risks and continue to contribute to standards bodies.
The Platform Already Built
Kigen’s platform facilitates autonomous over-the-air security updates, deployable across an entire fleet without physical intervention. Its native IoT profile management allows for secure provisioning at scale, while proven interoperability across the global operator ecosystem ensures that devices function seamlessly in various markets.
Additionally, Kigen chairs the GSMA eSIM Working Group, working to advance standards that elevate security across the industry, not just for competitive advantage but to strengthen the entire ecosystem.
The Convergence Moment
The intersection of artificial intelligence and advanced connectivity is reshaping manufacturing, with regulatory-grade security being essential for establishing trust. These converging forces present a unique opportunity for manufacturers to gain first-mover advantage.
The notion that every capability must be developed in-house is becoming outdated. Manufacturers poised to lead this decade will be those who recognize existing specialized expertise and leverage partnerships to accelerate their market entry.
“This is a once-in-a-generation opportunity to establish security correctly — at the foundation, with lasting effect,” Carrara concluded.
The regulatory framework is well-defined, and the technical capabilities are proven. Establishing trust at scale offers a sustainable competitive edge.
For more information, visit Kigen’s official website.
Source: www.zawya.com
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Published on 2026-06-26 06:08:00 • By the Editorial Desk
