With a proven case for monetisation and increasing levels of protection against grey route usage, the A2P industry has stabilised in recent years and is now predicted to see values rise to more than $70.32 billion USD by 2020*.

“… MNOs can protect their brand reputations and customers, all while still generating revenue.”

Most SMS gateways have previously operated in an unrestricted environment; terminating A2P messages without perhaps realising the consequences faced by mobile network operators (MNOs). Today, recognised SS7 Firewall experts like HAUD are levelling the playing field for both parties to guarantee permitted access to subscribers. This means routes are protected, and spoof or fake sources and other fraudulent activity can be identified so MNOs can protect their brand reputations and customers, all the while increasing revenue.

Greater awareness around SS7 security has ensured that carriers and MNOs are now also under increased pressure to take the appropriate measures to safeguard the utilisation of their networks and, most importantly, their subscribers.

With increased levels of protection for the MNO, many gateways and messaging providers have adjusted their business models to focus heavily towards the premium end of the market. But despite many MNOs now applying filtering solutions to control inbound SMS traffic at an international level, the traditional source of grey route traffic, alternate means of low cost access points to mobile networks are being exploited.

“It is this satisfaction that will become even more crucial to guarantee a future for A2P SMS revenue”

When it comes to the long-term health of the A2P messaging market, a cooperative approach of MNOs and SMS gateways is required. Both rely on each other to grow revenue, and facilitating better working relationships between both parties ensures long-term customer satisfaction. It is this satisfaction that will become even more crucial to guarantee a future for A2P SMS revenue and combat OTT services, such as WhatsApp, whom have already left a footprint in the A2P space as well.

The best approach to ensure this is by monitoring and controlling SMS traffic coming into the MNO, only then can such synergies between MNO and the gateways be made possible.

Such security and traffic control is possible by deploying an advanced traffic management system with effective SS7 Security features that is capable of effectively controlling all access points, including Local SMPP connections and Off-Net interconnection traffic. HAUD’s ‘ring-fencing’ solution can fulfil this need and make this win-win environment a reality, where the MNO would be able to monetize the traffic whilst the SMS gateways, would have the peace of mind that there is no grey route traffic entering the network enabling them to demand a healthy market price from the content providers to terminate to the MNO.

“MNOs and gateways pursuing a unified approach, working together to mitigate risks will experience significant benefits.”

Without an active and holistic solution, such as HAUD’s, a significant portion of revenue will be lost, and unprotected routes are likely to attract ‘lower quality’ traffic, which damages the long-term viability of the A2P space, also leaving the network and the subscribers vulnerable.

MNOs and gateways pursuing a unified approach, working together to mitigate risks will experience significant benefits. Shared work streams like these certainly ensure a higher level of service for the customers, and, in turn, provide an increased slice of the market for those MNOs and gateways that have the foresight to collaborate now.

If you’d like to talk to one of our experts about how to ring-fence your network, or would like to partner with HAUD, get in touch at: [email protected].

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* Transparency Market Research: A2P SMS Market – Global Industry Analysis, Size, Share, Growth, Trends and Forecast, 2014 – 2020 transparencymarketresearch.com/global-a2p-sms-market.html