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The success of SMS – short messaging service – was not anticipated by most. First, P2P SMS was embraced by the youth, creating a new channel of contact for all ages.
Then businesses jumped in and started using the medium to communicate with their customers in a personalized and highly effective fashion. These types of short messages are known as A2P SMS.
But, when SMS services were used for commercial purposes, spam and fraud started occurring more often. Therefore, SMS Firewalls were developed to protect mobile networks from this. While not wholly safe, several networks have installed firewalls that partially monetize SMS traffic.
SMS Firewall offers complete safety and control over all messaging on a network while defending mobile networks from all SMS-based messaging assaults. All communications are forwarded through the firewall and are examined and categorized. This implies that everyone gets inspected.
Using SMS Firewall To Secure A2P SMS Messaging
Generally speaking, SMS is regarded as a well-established, secure, effective, and economical communication channel. However, the existence of scammers and hackers could undermine the trust you have worked hard to establish and ruin a significant source of income.
In the most recent analysis on SMS Security Gateways, Infonetics Research forecasts that sales of the products will rise to €51 million ($69 million), a 70% increase from 2012.
The popularity of Enterprise Application-to-Person (A2P) SMS, which is used in marketing and customer relationship management, is one of the major factors influencing this expansion.
As the market grows from P2P (person to person) to A2P (application to person) enterprises, grey routes are also increasing.
This is why an SMS firewall plays a significant role in ensuring communication value. Research shows that the traffic on A2P SMS increases after implementing a firewall.
Protect Followers From Spam
The primary goal of opening up an SMS channel is to make it easier for businesses to communicate with their clients. This can involve sending out messages regarding flight information, personal accounts from banks, and other general marketing material.
The effectiveness of SMS marketing stem from subscribers rarely seeing spam. It is a dependable route that operators are concerned with safeguarding through an SMS firewall.
Firewall systems can assist operators in ensuring that A2P SMS messages are correctly routed. This ensures that any A2P messages entering the inter-carrier P2P channel are forced to be redirected to an A2P channel where they belong and where there are more favorable revenue opportunities.
In contrast to the overall fall in operator P2P SMS income, enterprise A2P pricing plans have mainly stayed consistent.
Eliminate Grey SMS Routes
The market for commercial SMS is expanding quickly. Organizations worldwide have embraced it and realized its potential as a communication tool. However, grey routes are growing along with business messaging.
Mobile operators worldwide have recognized the urgent need for these cheap bulk messaging services to prevent revenue losses and gain control over networks.
SMS grey routing is the process by which an SMS (a text message) is delivered initially through a legitimate route but then passes through an unauthorized channel before arriving at its target.
Using different software and hardware elements, an SMS firewall eliminates grey routes by screening traffic, detecting all incorrectly charged ways, and preventing network exploitation.
Grey route traffic costs MNOs US$50 billion between 2018-2023
Avoid SIM Farms
While A2P SMS messaging is still a simple and practical way for businesses to communicate with their clients, false and unauthorized traffic is dangerous for mobile users and businesses.
Today’s prevalence of fraud is a significant issue for all parties involved in the SMS ecosystem, as swindlers are constantly looking for new approaches to attack networks.
SIM farms are collections of mobile devices with active SIM cards connected to mobile networks. They are typically utilized by SMS spammers and provide unlimited SMS plans on prepaid SIM cards.
Moreover, A2P traffic that misleads peer-to-peer (P2P) communication in SIM farms has increased in recent years to abuse mobile networks.
However, mobile operators can reduce these risks by using technology to their advantage and segregating traffic on A2P SMS. These changes will lead to better business growth.
Unauthorized A2P SMS Traffic
The A2P SMS industry is expected to grow exponentially, from $46.81 billion in 2021 to $64.24 billion in 2028. Despite the progress, mobile operators can not profit much from this revenue.
This is because of A2P SMS traffic’s division into three channels: white route traffic, black route traffic, and grey route traffic.
White route traffic focuses on a direct route for SMS traffic at a fixed price. Whereas black route traffic is indirect and illegal, lacking source agreement. All SMS traffic coming via this route is considered illegitimate. Lastly, Grey route traffic is somewhere between the black route and the white route.
It is expected that because of a spike in grey route traffic between 2020 and 2024, there will be a massive loss of $371 billion in revenues.
MNOs can secure their networks while earning revenue from legitimate A2P by using next-generation firewalls.
However, simply utilizing the infrastructure will not yield the full revenue potential. Mobile operators have to take decisive action to resolve constantly changing security threats.
How To Monetize Your A2P SMS Traffic?
Data, voice, and SMS are three critical elements of all business models of mobile network operators (MNOs). Here our focus is on SMS because it is the primary tool for communication nowadays, and if used correctly, there are plenty of lucrative opportunities
According to Mobilesquared’s prediction, A2P SMS messaging market growth will increase from $11.86 billion in 2017 to $26.61 billion in 2022.
However, providers cannot fully understand and utilize the income potential of their A2P SMS traffic. By deploying SMS firewalls, MNOs can easily manage networks and SMS traffic.
A2P monetization is the process by which profit is maximized through A2P SMS services. One can monetize the A2P SMS traffic by:
- Installing an SMS Firewall,which can turn grey areas into white and continuously filter and reject spam from unauthorized sources, leading to better revenues.
- Closing the network to prohibit grey routes or using an upgraded SMS firewall.
- Introducing a tracking and reporting system that gives operators real-time analysis of the type of traffic, its volume, source, and other information.
- A partnership with an OTT provider enables an operator to split profits with OTT providers.
- Engaging a consulting partner to locate and examine fraudulent trends on the network to restrict similar activities in the future.
IDT SMS Firewall As The Best SMS Firewall
A2P SMS is becoming the standard method businesses use to communicate with their clients quickly, personally, and effectively.
IDT, a well-known provider of voice connectivity on a global scale, now provides a Global A2P SMS service that helps with monetization, network protection, and subscriber protection.
Their SMS firewall blocks messages from bulk SMS providers and international operators from taking control of A2P traffic on your network unless an agreement is in place.
Key Takeaways
The best safeguard against fraud and spam on mobile networks continues to be SMS firewalls. Several firewall providers offer managed solutions. MNOs collaborate with them to ensure a safe and efficient network.
Also, opting for managed solutions ensures that the firewall service is kept up-to-date with the latest security rules and is armed to deter all current and future threats.
