1) In your opinion, to what extent do you think MNOs protect their network and their subscribers against fraud and spam?
Not as much as they should. This isn’t because they don’t want to but because many underestimate the extent of the amount of spam, fraud and bulk SMS that is actually terminated on their networks without being paid for.
2) If you were to give an estimate, what percentage of MNOs incorporate firewalls and filtering solutions to protect their network and subscribers?
Although many, especially the larger MNOs, are implementing some manual filtering, very few actually go for fully-fledged filtering solutions that will do the work for them. Again, I believe that this is because SMS is underestimated and no longer considered to be a main revenue stream for operators.
3) Typically, what benefits could MNOs reap if they were to install a firewall and filtering solution such as that offered by HAUD Systems?
There are several benefits, including:
- Less manual work for employees
- More accurate filtering
- Less subscriber disgruntlement as fraudulent SMSs will be blocked
- Less capacity issues on international links and loads on SMSCs
- And last but not least, additional revenue. Millions of SMSs are being terminated on mobile networks and the revenue is pocketed by those using the grey routes and the SMS aggregators who provide them.
4) What do you think hinders MNOs from investing in fraud prevention?
Two things. Mainly the misconception that fraud and spam are within controllable limits and the idea that it takes a lot of resources and CAPEX to have a proper filtering tool.
5) In terms of business development, what’s your outlook for HAUD Systems for the next 6 months?
I’m keen on presenting solid facts and figures to MNOs so they can understand what they stand to gain from adopting a solution such as that provided by HAUD Systems.
A2P messaging kicked off over a decade ago and MNOs have lost so much revenue while others have made millions. There’s a current misconception that SMS has lost its staying-power to OTT messages and social media platforms, however I’m a staunch believer in the ubiquity of SMS. Everyone can send and receive SMSs irrespective of what phone model one owns and how old it is.
If MNOs secure their networks from advertisers and other organisations who send SMS notifications over grey routes, then there will be no other option but to purchase SMS directly from the MNO, creating an entirely new revenue stream for operators in the process.
Having worked with a multinational MNO and also with an SMS aggregator, I’ve experienced both sides of the story and I believe this will add value to our customers’ experience of HAUD Systems.