Credentials baked into firmware get extracted and cloned. Software keystores are only as strong as the OS around them. Dedicated secure elements add cost and board space that constrained devices don't have. The result: device identity that can't be trusted, TLS backed by keys sitting in flash, and security reviews that stall procurement.
The SIM already performs cryptographic network authentication for a living, inside tamper-resistant hardware with a formal security certification lineage. GSMA's IoT SAFE standard defines how applications can use that same environment as a root of trust: keys generated and stored on the SIM, cryptographic operations performed on-card, secrets never exposed to the device OS.
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Hardware-grade device identity and channel security across the whole fleet, at SIM cost rather than secure-element cost — manageable remotely for the device's entire life.