As we enter the 2020s, the mobile messaging landscape has become more competitive than ever, with various channels vying for the attention of end-users, devices, and enterprises. Despite the growing competition, the SMS has not only maintained its relevance but continues to thrive and expand its influence. With a reach of over 5 billion mobile device users globally, SMS remains the primary communication channel for the rapidly increasing number of IoT devices, solidifying its role in the 5G era.
SMS and 5G: A Powerful Combination
SMS is the only channel that can seamlessly connect over 5 billion mobile device users worldwide, making it an indispensable communication tool for enterprises and operators alike. As users transition to 5G networks and purchase new phones, maintaining uninterrupted access to person-to-person (P2P) SMS will be essential. The steady growth of application-to-person (A2P) messaging traffic indicates that enterprises are eager to harness the power of SMS for their digital transformation strategies.
Expanding Applications of SMS in the 5G Era
Although SMS technology originated in the 2G era, it remains one of the most potent communication channels for businesses to connect with customers. Both mobile operators and enterprises must seize the growing opportunities presented by SMS as networks transition to 5G, as it has the potential to generate significant revenue. Supporting SMS technology in 5G networks also paves the way for new revenue streams from the IoT sector. In 5G networks, SMS can be delivered over IP connections on IP-SM-GWs or through SMSF (SMS on NAS) without requiring an IMS infrastructure. While both methods are vital in 5G networks, SMSF is particularly significant for many new IoT and machine-to-machine communication use cases across various industries.
SMS and the Growing IoT Market
Currently, there are over 1.3 billion cellular IoT devices globally, with projections estimating a staggering 5 billion devices by 2025. Much of this growth is expected to stem from massive IoT deployments, where a considerable number of low-cost devices will require low power consumption. In these cases, latency, sensitivity, and throughput will be less important. Traditional features such as device triggering and SIM OTA will be indispensable in numerous IoT scenarios, and operators will rely on SMSF for SMS transmission in these instances.
SMS: A Continuing Legacy
Whether it is to accommodate the ever-growing number of mobile users worldwide or to facilitate the evolving IoT ecosystem, the importance of SMS will only continue to rise. The universal coverage and reliability of SMS ensure its position as a channel that businesses will continue to leverage for customer interaction. As 5G deployment accelerates and the IoT market experiences explosive growth, SMS will undoubtedly play a pivotal role in shaping the future of mobile communication.
