One of the key factors propelling the growth of the SMS firewall market is the increase in demand from SMS aggregators and mobile network providers to restrict unlawful SMS traffic. Adopting application-to-person (A2P) SMS in industries like BFSI, retail and e-commerce, travel and hospitality, and strict government regulations and policies are driving the market growth for SMS firewalls. SMS fraud activities like phishing, spoofing, and spamming are on the rise. The market for SMS firewalls is further influenced by the growing requirement to protect networks against grey route traffic that can result in large revenue losses and an increase in message assaults such as spoofing, flooding, spamming, and flooding. Additionally, the SMS firewall market is positively impacted by rising data traffic, a focus on customer experience, CRM, and marketing efforts.
COVID-19 IMPACT
The COVID-19 pandemic has claimed a large number of lives. The virus's spread has also had a significant impact on the economy. Tourism, manufacturing, and finance have all taken a hit globally. Online markets, on the other hand, have grown during the outbreak. Governments all over the world imposed strict lockdowns and social distancing norms. Working from home became a new trend at the time. During the pandemic's outbreak, many people lost their jobs. During that time, fraud and hacking increased, fueling the growth of the SMS firewall market.
DRIVING FACTORS
A2P (Application-to-Person) Messaging's Rapid Growth to Drive the Market
With the development of technology and a growing reliance on virtual forms of communication, SMS has quickly become more significant in people's daily lives. Rapid SMS firewall implementation is crucial in securing user data on telecom or mobile networks and is a significant driver of demand and market revenue growth. Cyberattackers are gaining access to more opportunities provided by information technology (I.T.) to steal data and damage the gadgets of network users. SMS firewalls guard against these technical intrusions by screening all SS7-based on-net and off-net messages and classifying A2P and P2P messages to stop any potential grey routes. Due to their increased use over the next years, the market is anticipated to experience revenue growth.
RESTRAINING FACTORS
Concerns that Users' Lack of Technological Knowledge would Limit Market Growth
Network users must have the necessary technical knowledge to use SMS firewalls effectively and dynamically. It is not always possible to do this because it calls for rights and alertness to keep up with firewall upgrades, identify and avoid malicious assaults, and maintain attentiveness. Additionally, a major setback that may impede market revenue growth is the rise in cyberattacks in recent years as a result of an increasing amount of labor being done online.
SEGMENTATION
By Components
Based on components, the SMS firewall market is segmented into platforms and services. The services category dominated the market in 2021. It is crucial for maintaining the efficiency of the communication infrastructure. Education, training, and certification, consulting, planning, and implementation are all part of the professional services market. The services industry has a significant impact on the SMS firewall market. These services contribute to cost-cutting, revenue growth, and performance enhancement.
By Services
By services, the market is segmented into Professional Services and Managed Services. The managed services category dominated the market in 2021. Users can deploy and configure applications and software on their devices due to managed services. The market share of the managed services segment in the overall SMS firewall market has grown as a result of vendors offering various managed services, including firewall configurations and management, 24/7 remote support, inventory tracking, client-hosted operations, monitoring and monitoring vigilance, and firewall services.
By SMS Type
By SMS type, the market is segmented into application-to-person (A2P) message and person-to-application (P2A) messages. The application-to-person (A2P) message category dominated the market in 2021. The demand for application-to-person messaging is rising across various industries, including e-commerce, travel, healthcare, finance, and banking, leading to a rapid expansion of this section of the global SMS Firewall market. Notifications, sending warnings, and marketing messages, such as flight alerts, banking updates, One Time Password (OTP) verifications, and promotional messages, are a few of the typical uses of the application-to-person messaging sector that contribute to the growth of the worldwide SMS firewall market.
By SMS Traffic
By SMS traffic, the market is segmented into national SMS traffic and international SMS traffic. The national SMS traffic category dominated the market in 2021. SMS firewalls protect national SMS traffic by analyzing and categorizing all messages and blocking any grey routes that may appear, a major factor expected to increase its demand in various projects and thus contribute to the segment's revenue growth.
By Deployment Modes
By deployment modes, the market is segmented into On-premises and Cloud. The on-premises category dominated the market in 2021. For the protection and blockage of undesirable SMS traffic, this mode provides telecom operators with greater security and privacy. The on-premises SMS firewall gives M.O.s more control over thwarting unauthorized SMS transmission. The revenue of the telecom provider is harmed by the spam text messages as well as the consumer. To fight such spam SMS traffic, telecom carriers utilize SMS firewall solutions.
REGIONAL INSIGHTS
North America is projected to hold the largest share of the SMS firewall market over the forecast period. The region's demand is rising due to the e-commerce and healthcare sectors' rapid expansion, fueling the expansion of the SMS firewall market's revenue. Additionally, a strong presence of important competitors in the region's nations is anticipated to fuel market revenue growth in North America. Revenue growth in the North American market is also fueled by rising demand for SMS firewalls in the banking and educational sectors.
On the other hand, the Asia Pacific SMS firewall market is anticipated to grow significantly over the forecast period. It is anticipated that the region's countries will want more SMS firewalls due to the fast-paced development of the telecommunications sector, which is vital to the growth of the SMS firewall market. Asia-Pacific is experiencing fast industrialization and urbanization, rising government policy implementation regarding user data protection, and rising demand for SMS firewalls. In addition, due to their dependability and elimination of human dependency, the rising demand for SMS firewalls in the public and healthcare sectors is another factor anticipated to fuel the market's expansion in Asia-Pacific.
LIST OF KEY COMPANIES PROFILED:
- Symsoft
- Cellusys
- Route Mobile Limited
- ANAM Technologies Ltd.
- Tyntec
- SAP SE
- Belgacom ICS
- Tata Communications Limited
- Mahindra Comviva, Infobip Ltd.
- Twilio Inc.
- Syniverse Technologies, LLC.
- Omobio (PVT) Limited
- AMD Telecom S.A.
KEY INDUSTRY DEVELOPMENTS:
- November 2021: The official agreement between Peerless Network and Infobip Group, a provider of cloud communications platforms for customer contact and CPaaS solutions, has been signed. The business had made four acquisitions in a little more than a year. Subject to regulatory approvals, the transaction is anticipated to occur in 2022, and it will be financed with a combination of cash and Infobip shares. The management of Peerless Network will combine some of its assets with Infobip.
- February 2019: The products formerly marketed under CLX Communications, Symsoft, and other names are now under a new corporate brand identity with a single name and visual identity for all business divisions. CLX Communications, a global pioneer in cloud communications, has changed its name to Sinch.
| Attributes | Details |
| Study Period | 2016-2030 |
| Base Year | 2021 |
| Estimated Year | 2023 |
| Forecast Period | 2023-2030 |
| Historical Period | 2016-2020 |
| Unit | Revenue (USD Million) and Volume (Kilo Tons) |
| Segmentation | By Components, By Services, By SMS Type, By SMS Traffic, By Deployment Modes and By Geography |
| By Component |
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| By Services |
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| By SMS Type |
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| By SMS Traffic |
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| By Deployment Modes |
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| By Region |
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