Vodafone to launch SMS filtering early November

Topic: Industry News, Technical
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Earlier this year, Vodafone announced their intention to implement an SMS filtering system. They have now confirmed the launch of this to be on Monday November 3rd.

The move will prevent the huge revenue loss for Vodafone caused by some SMS aggregators avoiding interconnect fees by grey routing. Whenever one network receives an SMS from another it usually charges an interconnect fee for delivering that SMS. Grey routing refers to the process of networks directing the messages in various ways designed to avoid any interconnect charges.Grey routing allows Wholesale SMS aggregators to offer cheap rates, often selling the medium to marketing companies who are attracted by cheap rates of delivery for bulk SMS campaigns. Following the launch of the Firewall, Wholesale SMS providers may experience delivery issues as a result, and increased pricing as they cope with interconnect fees.Thankfully, as we’re already directly connected to the major networks, we will remain relatively unaffected and continue to offer our high delivery success standard. We commit to 90% of messages being processed within five seconds and 95% within twenty seconds, although usually this standard is exceeded.So, Vodafone will experience reduced revenue leakage, Wholesale SMS providers may experience delivery failures and increased costs, our service still remains fantastic. However, the filtering will also impact Australian businesses and good old Aussies themselves for the better.It’s going to reduce spam from offshore services and secure network protection, which is beneficial to everyone. The Australian Competition & Consumer Commission recently revealed that in 2012, 14 per cent of all scams to reach consumers came via text message. Wholesale SMS aggregators will no longer be able to offer cheap bulk prices by avoiding interconnect fees, because the filter will hinder these messages from being delivered.This means the companies that are attracted to these extremely low-prices that tend to deliver spam, will not be able to do so as easily. Good news for everyone! 

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Prachi Bametha

Marketing Coordinator, Esendex Australia