Happy new year to you all. In our first blog of 2023, we are taking a look at why we should care about 5G, the lucrative opportunities that 5G can present and more importantly how we can protect our revenue streams from fraudsters by using Rich Messaging. It is expected that there will be over 5 billion IoT devices by 2025 with SMS being an integral part of many IoT scenarios and operators relying on the SMSF for SMS delivery! Being prepared for this can put you in an optimal position.
Why we should care about 5G Messaging?
5G is the next generation of mobile networks, designed to meet the increasing demand for data and connectivity in modern society. One key feature of 5G is its low latency, or the time it takes for devices to communicate with each other over the network. Compared to previous generations of mobile networks, 5G is expected to have a much faster response time, which will enable a range of new applications and services that have not been possible before. 5G will provide the necessary speed, low latency, and connectivity to support a new generation of innovations in various fields.
5G is expected to enable several types of communication and applications:
Massive machine-to-machine communication, also known as the Internet of Things (IoT), involves connecting billions of devices without human intervention on a large scale. This has the potential to revolutionize modern industrial processes and applications, such as agriculture, manufacturing, and business communications.
Ultra-reliable low latency communication is critical for mission-critical applications, such as real-time control of devices, industrial robotics, vehicle-to-vehicle communication and safety systems, autonomous driving, and safer transport networks. It also enables new possibilities for remote medical care, procedures, and treatment.
Enhanced mobile broadband provides significantly faster data speeds and greater capacity, enabling a range of new applications such as fixed wireless internet access for homes, outdoor broadcast without the need for broadcast vans, and improved connectivity for people on the move.
In communities, 5G will enable the connection of billions of devices for smart cities, schools, and homes, as well as enhance health care, education, and provide a safer and more efficient place to live. It will also enable the use of smart and safer vehicles.
5G and the Internet of Things (IoT) are expected to provide businesses and industries with a wealth of data that will allow them to gain insights into their operations like never before. This will enable businesses to make key decisions based on data, and to innovate in areas such as agriculture, smart farming, and manufacturing, leading to cost savings, better customer experiences, and long-term growth.
New and emerging technologies such as virtual and augmented reality will also be made accessible to everyone with 5G. Virtual reality will allow for connected experiences that were not previously possible, enabling people to experience things like traveling to their favorite city or watching a live sports match as if they were actually there. 5G will also enable us to stay connected in tomorrow’s smart cities, homes, and schools, and will create opportunities that we have not yet even thought of.
But what about SMS messaging in the 5G era?
While 5G is primarily focused on providing faster, broader, and more widespread data services, it must also continue to support SMS (short message service) messaging, which will remain important for IoT services, over-the-air updates, multi-factor authentication, and communication with legacy networks.
To ensure that SMS is still supported in 5G networks, the 3GPP (3rd Generation Partnership Project) has developed standards that include the use of a special node called the SMS Function (SMSF). This node enables the activation and delivery of SMS within the 5G core, and allows for the exchange of SMS messages with legacy SMS servers and the provisioning and activation of SMS services for 5G subscribers. Some wireless operators may manage hybrid networks that include 5G, 4G, and 3G, and can continue to support SMS through IMS (IP Multimedia Subsystem) or through fallback mechanisms using the diameter protocol. However, for operators with standalone 5G networks or network slices dedicated to certain customers, the SMSF will be a key component from the start.
Opportunities for MNOs, Hubs and Aggregators
SMS (short message service) messaging is expected to remain a key enabler for new operator revenue opportunities in 5G networks due to its ability to reach a large number of people and connected devices around the world.
Application-to-Person (A2P) messaging traffic figures have also shown that enterprises are interested in using SMS in their digitalization efforts. As a result, mobile operators will need to cater to the growing demand for SMS, which is still a core service with strong revenue potential, as networks transition to 5G.
The technology that supports SMS in 5G networks also opens up new revenue opportunities for operators in the Internet of Things (IoT) space. SMS can be delivered with IP connectivity over an IP-SM Gateway or without IMS infrastructure over an SMSF (SMS over NAS) in a simpler implementation. While both methods are important in 5G networks, the SMSF is particularly relevant for new IoT and machine communication use cases across various industries.
It is expected that there will be over 5 billion IoT devices by 2025, with the majority of this growth coming from massive IoT, which involves large volumes of low-cost devices that require low energy consumption but may not have strict requirements for latency, sensitivity, and throughput. SMS will be an integral part of many IoT scenarios and operators will rely on the SMSF for SMS delivery in these cases.
Fraud prevention in a 5G era
Many of the common SMS attacks that currently exist are expected to continue in 5G networks, due to the reliance on legacy systems and the fact that attackers will still be motivated to target mobile phone users.
These types of attacks could include unsolicited SMS messaging, SMS phishing or smishing, denial of service, SMS interception, grey routes, premium SMS fraud, and the spread of mobile malware.
Finding service providers that can protect end-users of messaging services will be critical to ensuring 5G messaging retains integrity and confidence as a method for two-factor authentication and brand to customer communication.
Despite previous predictions about the decline of SMS and the reduction of Person-to-Person (P2P) messaging on this channel, there has been a significant increase in Application-to-Person (A2P) SMS traffic, which allows businesses to have digital conversations with their customers. The global A2P SMS market is projected to reach over $70 billion in the next few years. SMS will continue to be a valuable functionality on 5G networks.
Protecting revenue streams with rich messaging
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- 5G rich messaging is designed to be a universal service like SMS, which is available on all devices and interconnected across all networks for both Person-to-Person (P2P) and Application-to-Person (A2P) communication. It has several key features:
- An update to legacy SMS that allows for secure messaging without the need for users to add each other as contacts, using device SIM and MSISDN (Mobile Station International Subscriber Directory Number).
- Verification and security measures to validate the sender’s identity and ensure the authenticity of messages and content.
- The use of rich cards and carousels to provide customers with photos of products and services, as well as digital catalogs.
- Chatbots that allow brands to program automated responses and filter for inquiries that need a human agent.
- The ability to share maps and directions through location sharing.
- Integration with existing payment platforms offered by telcos, brands, or key payment providers for secure payments.
- The sharing of QR codes that link to a brand’s digital content, such as websites or FAQs.
- Detailed metrics and analytics on customer interactions, including traffic, customer engagement, sessions, and the end-to-end customer experience.
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Reliability of 5G messaging
As the deployment of 5G networks continues to expand, one important factor that businesses and individuals consider when choosing a mobile service provider is the reliability of the messaging network. In this article, we’ll explore the role that messaging network reliability plays in the 5G experience and how it differs from previous generations of mobile technology.
It’s important to understand that messaging network reliability refers to the ability of a mobile network to deliver text messages and other forms of communication in a timely and accurate manner. This can include SMS, MMS, and instant messaging services such as WhatsApp and iMessage.
One major advantage of 5G technology is that it has the potential to greatly improve messaging network reliability. This is due to the fact that 5G networks have much higher capacity and lower latency than previous generations of mobile technology. This means that 5G networks can handle more messages at once and deliver them faster, resulting in a more reliable messaging experience.
