Posts Tagged ‘SMS’

SMS growth with IoT, AI and the Golden Goose

Fresh from the Messaging & SMS World show in London this week it was interesting to understand the potential fit for SMS within the rapidly developing IoT and AI landscape.

There was much discussion in terms of IoT and SMS at this year’s event, and it’s long been established that for many IoT applications SMS is, and is likely to remain as the default modus operandi, particularly within vehicle management. SMS powered IoT devices suck a lot less power than ones that rely upon constant cloud access making safety critical applications an obvious choice, and in-turn providing a multitude of opportunities from healthcare to energy for SMS growth in the future.

It was interesting to hear speakers and delegates discuss the complementary ways in which SMS can ultimately support IoT and how it’s seen as a failsafe mechanism in the event of failure to access the cloud, particularly relevant to safety critical applications.

More subtle is the use of SMS as a way for IoT manufacturers to communicate with their customers. Security is, as ever, a high priority, and with recent high profile DDoS attacks being staged from IoT devices it’s an area that IoT developers and manufacturers need to get right.

Your average consumer is not focused on network security as they install their latest IoT devices, yet manufacturers clearly cannot afford to ship all devices with default username and password settings.SMS can be effectively utilised by IoT vendors to communicate with consumers to insure they register and authenticate their IoT devices. Furthermore as evidence of network fatigue on apps that push notifications to consumer’s mounts, SMS can help guarantee the delivery of instructions surrounding ongoing critical software updates for devices.

Next up, and as ever a hot topic at the event was the big ‘AI’, specifically machine learning and bots. To be honest Artificial Intelligence is being strewn around as click bait across pretty much all tech sectors. At Messaging & SMS World we were presented with a pitch from a vendor claiming that their machine learning, artificially intelligent software would allow operators and aggregators to monitor SMS traffic, classify it, apply profiles and then the software would learn what was profitable and automatically manage this traffic, helping to block/reduce spam and low value traffic. To many this all simply sounded like big data analysis and pattern matching software, which SMS firewall vendors have been doing successfully for some time. Watch this space.

Bots again are attracting a lot of press coverage, however in the Telco sector there is cause for cheer on this front from the likes of T-Mobile who are successfully reducing churn by using bots to essentially frontend their support FAQs. It would follow that you could augment SMS interactions using bots. A vendor at the event described how they were successfully using SMS bots in conjunction with financial institutions to increase sales of their products in developing markets. The premise of this interaction seems to be that consumers weren’t always sure whether they were talking to a real person or a machine. But hey who cares, as long as you get a sale? Even the panel moderator raised the question of ethics on this one.

This leads us nicely back to the fundamentals of why A2P SMS is seeing such growth and why we must be careful not to kill the goose that lays the golden eggs. My appointment reminder from my dentist, notification that my Amazon parcel has been shipped, and that there’s been unusual activity I need to verify on my bank account are genuinely useful to me. With SMS being ubiquitous across all mobile devices I don’t have to download yet another app or dive into multiple chat groups to retrieve messages, and unlike my email my SMS is relatively immune from spam. Long may this remain, and long may A2P SMS drive growth and instill confidence in this corner of the Telco market.

A2P SMS Providing Wins As RCS Labors.

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As predicted it was A2P SMS that was the hot topic getting everyone excited at this years Messaging & SMS World in London at the end of November. With traffic enjoying robust growth and recent high profile industry reports from Telefonica and MBLOX predicting a continued surge for A2P SMS over the coming years many are eyeing it as a means to increase revenue from their networks.

Whilst A2P SMS is clearly getting the lion’s share of the attention within the messaging arena, Rich Communication Services (RCS) is a subject that many are discussing the pro’s and con’s of, particularly in light of Google’s interjection in September 2015 when they acquired Jibe Mobile, a company at the forefront of RCS development.

RCS does of course offer some fundamental benefits compared to previous rich messaging standards, like its interoperability and being tied to individual phone numbers to boost privacy for users. However despite having the backing of the GSMA, a number of global MNO’s and Google it’s made slow progress since 2007. This has been in stark contrast to OTT rivals such as WhatsApp which has seen astonishing growth and is now used by over a billion users worldwide.

Furthermore RCS still has significant bumps in the road ahead including the agreement of standards internationally, device support and the usual difficulties of telco implementation and deployment. For the foreseeable future operators’ best opportunities for maximising revenue remains with SMS where proven technology and a global reach of 3.75 billion unique subscribers offers plenty of opportunity.

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