Selbyville, DE -- (SBWire) -- 12/24/2018 --The U.S. SMS firewall market is expected to hold a large share over the future owing to a large-scale implementation of SMS firewall solutions by SMS aggregators and MNOs. Telecom operators in the region opt for these solutions to streamline business operations by accessing spam-free text messages. Increasing penetration of A2P messages across the industry verticals including e-commerce, banking, and government is anticipated to drive the SMS firewall market growth in the Asia Pacific region. Extensive geographical coverage and a large subscriber base have motivated the authorities in the Asia Pacific region to implement stringent regulations for spam traffic, thus boosting the industry growth.
With the increasing data traffic, network operators have received a large volume of spam messages that have blocked the network bandwidth and negatively impacted the service quality. SMS firewall market solutions help MNOs to overcome this problem, reduce operational costs, enhance customer experience, and regain revenues that declined due to the emergence of over-the-top players such as Snapchat, Viber, and WhatsApp.
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An Increase in the use of application-to-person (A2P) SMS by the enterprises primarily for CRM and marketing campaigns is expected to escalate the SMS firewall market size. With the advent of enterprise A2P industry, the value chain between enterprises and their subscribers has become increasingly complex and difficult to manage. These solutions simplify the value chain and ensure that subscribers of any SMS service are not subjected to spam messages, thus improving customer retention.
The rising stringent government regulations to protect subscriber information and rights by implementing security standards, such as IR 70 and IR 71, are expected to enhance the SMS firewall market growth. Increasing gray route traffic is spawning illegitimate traffic including viruses and frauds. Implementation of regulations to perform periodic checks and identify & block grey routes are expected to flourish the SMS firewall market.
With the advent of technology, the hackers are penetrating through multiple layers of a firewall. Also, the lack of technical expertise in the construction of firewalls and programming anomalies are expected to threaten the SMS firewall market growth. Different filtering criteria for different traffic sources, such as SMPP connection and MSISDN, may leave a loophole in the functioning of firewall solutions. The increasing number of traffic sources is expected to decelerate the industry growth. The growing trend among the firewall vendors to provide 3600 protection solutions is expected to augment the industry rapidly. The companies are providing tailored solutions and holistic A2P monetization to include phone verification lookups and portability, in addition to SMS.
The SMS firewall market is segmented into managed services and professional services based on the service type. Managed services segment is expected to grow rapidly over the forecast timeline owing to their low maintenance and operational costs. Managed services aid end users in the configuration and deployment of applications and software on premise. Managed services offered by the vendors include dedicated hosting, firewalls deployment, vigilance & monitoring, remote support, inventory tracking, client-hosted operations, and firewall configurations & management. The SMS firewall market caters to the requirements of enterprises from various verticals including banking & finance, healthcare, e-commerce & retail, government, hospitality, media & entertainment, and IT & telecom.
The SMS firewall market is segmented on the basis of message type, messaging platform, service type, organization type, and end-use industries. Based on the message type, the SMS firewall market is segmented into A2P and P2A messaging. The A2P segment is expected to grow at a high rate owing to the increasing adoption of this service by enterprises for sending notifications, alerts, OTP verifications, promotional messages, and updates to the customers. On the basis of the platform, the market is segmented into cloud and traditional. The enterprises are increasingly focused on deploying these services on the cloud owing to the faster time to market, high scalability, low-operational costs, and enhanced customer experience through cloud-based solutions.
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The key players in the SMS firewall market include Mahindra Comviva, AMD Telecom S.A., SAP SE, Anam Technologies Ltd., BICS, Cellusys, Symsoft, Tata Communications, Ltd., Syniverse Technologies, LLC, NetNumber, Inc., Route Mobile, Ltd., Tyntec, Global Wavenet, Ltd., Twilio, Inc., Openmind Networks, Define Telecommunication A.S., and Tango Telecom. The network providers are increasingly entering the SMS firewall market. For instance, in 2016, Airtel rolled out firewalls in Africa and Asia Pacific regions to help its partners monetize their traffic. This strategy enabled the company to venture into a new market and gain more customers in addition to retaining the old ones. Owing to continuously increasing subscriber base, the players in the market are becoming increasingly competitive and investing in the product development to offer better security services in the text message segment.
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SMS Firewall Market by Top Manufacturer AMD Telecom S.A., SAP SE, Mahindra Comviva, BICS, Cellusys, Symsoft and Other Companies Profiled
The SMS firewall market is segmented into managed services and professional services based on the service type. Managed services segment is expected to grow rapidly over the forecast timeline owing to their low maintenance and operational costs