- 25 companies sign-up to MEF’s Future of Messaging Programme
- Fraud costs the A2P messaging sector $2 billion in lost revenues annually
- 11 types of messaging fraud identified by cross-sector Working Group
MEF has today published the A2P Messaging Fraud Framework – the first release from its new industry programme The Future of Messaging. It identifies 11 distinct fraud types that impact the global messaging business today.
25 companies have developed the Framework as part of a two-year programme launched in Q4 2015 to create awareness and develop industry best practices in mobile messaging that accelerate market clean-up and advance innovation to support sustainable growth across the ecosystem.
The multi-billion dollar A2P (Application to Person) market has enjoyed significant year-on-year growth as brands and enterprises increasingly use the trusted channel for authentication and customer engagement, as well as marketing. However, it is estimated that fraud is costing the ecosystem at least $2billion annually creating volatility in the market, as well as directly impacting enterprises and consumers.
The fraud types identified by the group include SMS Phishing, Hacking and Faking as well as Grey Routes and SIM Farms, are complex and often not well understood by those affected. The Fraud Framework is available to download now and is a living document mapping technology fraud in the sector. It defines the causes, impacts affected parties of each of the 11 fraud types and will form the basis of future best practice guidelines to be rolled out during the Programme.
The programme participants represent different stakeholder groups in the ecosystem including MNOs, SMS aggregators, signalling, application service providers and enterprise messaging companies and the Framework benefits from the collective expert knowledge of local and international companies active in Asia, Africa, Europe, North and Latin America where fraud continues to limit full market potential.
The Market Development Work Stream focuses on the future messaging landscape and the features, investment and innovations required to leverage the changing dynamics of this vibrant sector with the shared goal to build a premium and trusted channel with sustained growth.
Founders of the programme include BICS, CLX Networks, CM Telecom, Eclipsoft, Infracast, IMImobile, Infinite Convergence, iTouch Messaging Services, Jersey Telecom, Mahindra Comviva, Mblox, Mitto, Movile, Nexmo, OpenMarket, rdcom.it, RealNetworks, SAP, Telefonica, TIMWE Group, Twilio, TWW, Veoo, Wau and Zenvia.
The Programme’s Director and MEF’s COO Joanne Lacey said: “The A2P messaging market continues to enjoy robust growth both in terms of traffic with new sectors embracing messaging for mission critical and other business to consumer communication. However, the prevalence of fraud across the value chain directly impacts monetisation today and threatens the market’s ability to sustain growth.
The fraud framework launched today by MEF’s Working Group is a solid foundation for the industry to agree best practice and work together to accelerate the clean-up of the market.”
MEF’s CEO Rimma Perelmuter added “It’s essential that the industry works together to advance the future of messaging. Taking a cross-ecosystem approach representing the consumer and enterprise perspectives and fully reflecting the priorities of networks and the broader messaging industry will ensure that this initiative delivers long-term impact and enables this flourishing sector to unleash its full potential.”