secure networks key to a2p monetisation

tyntec 2015 Research | Secure Networks Key to A2P Monetization 1

tyntec 2015 Research | Secure Networks Key to A2P Monetization

Contents

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Introduction

About the Research

Key Findings and Insights

A2P Growth

The Growth—Security Gap

Greatest Threats

SMS Firewall

A2P Monetization

Implications and Recommendations

tyntec SMS Firewall Solution

About tyntec

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4

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Introduction

In tyntec’s latest whitepaper explore the key data and insights on the A2P SMS

opportunities for mobile network operators (MNOs). See the startling findings on how

unprepared MNOs are when it comes to securing their networks against unauthorized

traffic, what they consider as the greatest security threat, and what role SMS firewalls play

in A2P monetization.


About the research

With original research sponsored by tyntec and conducted by mobilesquared using an

online survey of MNOs and interviews with the industry community, this 2015 report sheds

light on what mobile operators must do in order to generate revenues from the growing

potential in A2P messaging. All data and research in this whitepaper is by mobilesquared

unless stated otherwise.


Key findings and insights


A2P Growth

The A2P SMS market is growing fast. Based on Ovum’s forecast, A2P traffic will grow to

2.21 trillion messages per day in 2017, representing 31.3% of total messaging traffic.

Juniper estimates that the A2P SMS industry will be worth USD60 billion by 2018.

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Majority of mobile operators

experiencing year-on-year A2P

growth of between 6%-36%.

A greater percentage of mobile

operators have experienced A2P

messaging traffic growth in 2015

(56%) compared to 2014 (49%).


Security Gap

Despite the growth of the A2P SMS market, MNOs are in protection mode. The research

reveals MNOs associate the rise of A2P SMS with increased spam and illegal messaging

attacks on subscribers via their networks.

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Mobile operators slow to capitalise

on A2P opportunity, which is still

dominated by gray routes.

Less than 25% of mobile operators

have deployed next-generation

firewalls necessary to identify gray

routes.


Greatest Threats

MNOs do not have the sufficient network security tools in place to manage increased

spam and as a result, are also losing out on monetization opportunities.

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Gray routes account for two-thirds of A2P SMS

traffic, meaning only one-third of A2P traffic

can be monetized by mobile operators.

Mobile operators consider spamming the

greatest threat to their networks, followed by

spoofing, and virus distribution.


Key Drivers of SMS Firewalls

By using a properly managed SMS firewall, MNOs can gain control over their A2P traffic,

and open up their secured networks to legitimate A2P use cases, providing them with a

termination fee for each message delivered to their subscribers.

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The main driver for mobile operators

considering deploying an SMS firewall

is network security.

The primary criteria for mobile

operators selecting an SMS firewall

solution is the operational simplicity

and the firewall’s performance.


Business Impact of SMS Firewalls

MNOs now seeing the

return of investing in SMS

firewall to ensure legitimate

A2P traffic is delivered to

their customers.

Two-thirds of mobile

operators using SMS

firewalls reported a huge

reduction in unauthorised

messaging traffic.


Securing to Monetize

The revenue-generating potential of A2P SMS for mobile operators is immense. MNOs

have been searching for a way of getting in on the OTT communications act, but with next-

generation SMS firewall solution, they can access the even greater enterprise messaging

opportunity.

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The most popular near-term monetization

strategy of MNOs is domestic and international

A2P SMS.

MNOs need to expand their OTT monetization

focus to include the broader enterprise A2P

SMS opportunity.

By closing gray routes and upgrading their SMS

firewalls, MNOs can achieve “clean” and

“legitimate” A2P messaging growth.


Implications and Recommendations


The Challenge: Protect and Monetize Core Assets

It’s clear that the monetization potential of A2P SMS is vast, yet the majority of MNOs

have been slow to act on this opportunity. By deploying next-generation firewalls, MNOs

can secure their networks and generate revenues from legitimate A2P use cases.

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The Solution: tyntec’s SMS Firewall

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tyntec’s new SMS Firewall is a content filtering solution with configurable rules that

enables MNOs to control the incoming A2P traffic (SMS, portability and phone

verification lookups) and protect their networks from threats such as grey routes, spam,

flooding, faking, spoofing and others.


Filter and identify legitimate and profitable

sources of A2P SMS, providing MNOs with all

information needed to negotiate commercial

agreements and, in case of spam or fraud, to

block the traffic.

Tap into the increasing demand

for clean portability information

to support SMS and voice

routing. Identify legitimate traffic

by assigning Global Titles,

enabling the operator to block

illegitimate traffic as well as

monetize legitimate traffic.

Tap into the increasing demand for

clean phone intelligence information

to support authentication and

customer engagement services.

Identify legitimate traffic by

assigning Global Titles, enabling the

operator to block illegitimate traffic

as well as monetize legitimate traffic.

Holistic A2P Monetization

A2P SMS

Phone intelligence

data

Portability data

tyntec SMS Firewall: Holistic A2P Monetization


Tailored solution: Purchase the firewall infrastructure and deploy it independently, or

have it managed by tyntec, or establish a revenue-sharing business model.

Real-time monitoring & reporting: Threat detection and alerts for unwanted traffic.

Policy management system: Powerful system for defining custom SMS filtering rules.

Customized traffic analysis: Historical traffic analysis for spotting trends and threats,

enables timely preventive measures and monetization planning.

Seamless network integration: TDM and IP-based SIGTRAN integration, supports any

network or architecture.

GSMA compliance: Scanning of all traffic for threats as defined in GSMA IR.70.

Easy-to-use web interface: SMS filtering policy creation made easy with web interface.

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tyntec SMS Firewall: Key Features


About tyntec

tyntec is a telecom-web convergence company that connects the immediacy and

convenience of telecom with the power of the Internet.

Partnering with operators around the world, tyntec enables enterprises and Internet

brands to power their applications, authentication, and mission-critical communications

with universal mobile services such as SMS, voice, and phone numbers in the cloud.

Founded in 2002, tyntec employs over 150 people in six offices around the globe, serving

more than 500 global businesses, Internet brands and telecom operators.


Our Contact Details

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tyntec Ltd.

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tyntec Inc.

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San Francisco

For more information, please contact our local Sales Team:

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[email protected]

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