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The future of SMS Industry

Added: (Mon Sep 30 2019)

Pressbox (Press Release) - Interview with Fabrizio Salanitri, the CEO of HORISEN

1. In one sentence, tell us how you would the state of the telecommunications industry today?

Telecom industry is undergoing a severe transformation triggered by OTT messaging apps surge, which caused drop-offs in P2P SMS messaging and Voice traffic. Consequently, operators’ revenues have decreased, forcing them to look for a new lucrative alternative which they found in the A2P SMS business.

2. How do you see the industry evolving over the next five years?

We expect the industry to continue to leverage the power of A2P messaging as SMS has proven to be the most fruitful revenue stream due to its ubiquity, simplicity, and safety.
One of the reasons why A2P will still grow is the fact that the messaging industry today offers standardized and straightforward interfaces to send text messages. This opportunity is calling attention to thousands of programmers worldwide, which are regularly finding new business cases on how to use SMS in their applications. All those applications are boosting the A2P SMS volumes month by month.
RCS is also rising, especially with the latest Google’s initiative to roll out the service in the UK and France independently from the carriers. Although RCS is defined as SMS messaging 2.0, we don’t expect to see RCS replacing A2P SMS any time soon. The main reason is that all carriers must adopt it, which has already been a significant obstacle that forced Google to step forward with the latest initiative. Hence, we are sure that SMS business messaging will thrive for many more years!
Furthermore, the telecom industry will continue to go through a serious industry shift led by super-fast 5G, IoT, and cloud technologies. It will enable always-on connectivity, which will impact and revolutionize every industry and create a brand-new ecosystem of fully-connected devices and technologies.

3. What are some of the common challenges that Operators and Communications Service Providers face today and how do you help them overcome these obstacles?

One of the most significant issues telecom industry is facing today is a downturn in Voice and P2P SMS volumes. Voice traffic and margins have decreased in the past few years, forcing Voice companies to search for a new source of income. They found it in SMS, a trading business similar to Voice, but with higher profits. By employing SMS wholesale, Voice traders are getting an opportunity to capitalize on A2P SMS. The huge increase of social media, e-commerce, online banking, and numerous apps have caused a strong growth of business messaging as SMS is the most effective and secure way to send time-critical messages.

Our telecom platform facilitates A2P messaging monetization through SMS wholesale and retail applications. “HORISEN SMS Platform” is built solely for SMS trading and covers the whole workflow simplifying and automating it as much as possible. This benefit allows running the complete SMS business with a small team, without staff overhead.

“Business Messenger,” on the other hand, enables mobile marketing activities and retail A2P SMS monetization. And on top of that allows collecting the SMS traffic at its source.
To conclude, all of HORISEN’s products are built to maximize volumes and profits of your SMS business.

Find out more here: https://www.horisen.com/en

Submitted by:Biljana Lukovic
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