tyntec

24.10.11 12:44 PM

Internet Businesses to Drive SMS Growth

Mobile messaging still reaches most users and can also be integrated into apps

London/Munich, October 24, 2011 – Internet companies, online applications and social networks are creating renewed growth in SMS volumes globally, according to mobile interaction service provider tyntec. This growth is based on the increasing integration of SMS into a range of online services, from social networks’ messaging systems through to low or free SMS smartphone apps providers such as Pinger.

The increased deployment of SMS by these organisations is being accelerated by the growing realisation that mobile messaging can reach all mobile users and not just smartphone owners. Compared to text messaging, apps are still very much a nascent market. According to Portio Research, SMS contributes eight times as much revenue (US$127 billion in 2011) as apps (US$15 billion by end of 2011, according to Gartner).

Internet companies like Pinger opening up a wide range of use cases

One example of an internet business driving SMS traffic is Pinger. The company provides a free text app for iPod touch, iPhone, iPad devices and Android, which initially was launched in the US. Each month Pinger handles over 1.6 billion SMS messages in the US, which are financed by advertising. Pinger’s SMS Free service is now also available in Germany, powered by tyntec. For Germany, tyntec handles all incoming and outgoing mobile messages that are exchanged between Pinger users.

Other online services deploying SMS include VoIP businesses offering their users the ability to text from their online accounts, social networks offering SMS updates, dating providers enabling anonymous mobile messaging chat and app providers looking to integrate SMS as part of their service offering.

A further development in the SMS marketplace is the rise of new funding and business models. As online SMS services are increasingly offered to the end user for free, providers are looking at alternative routes for monetisation. Whether through advertising or the balancing of inbound and outbound termination rates, mobile messaging offers internet companies a range of options for business model innovation.

Demand for universal services that don’t rely on 3G coverage

Michael Kowalzik, CEO of tyntec, said: “Many people have predicted that apps and the mobile web could slow the growth of services such as SMS. However, we just don’t see that – people love universal services like text messaging and voice. They work on every device, everyone knows how to use them and you don’t need 3G coverage for it to work. We see that there’s an important, continuing role for technologies such as SMS and that’s why we’re working to bring new approaches and commercial models into this marketplace.”

Joe Sipher, Chief Product and Marketing Officer for Pinger, said: “tyntec enabled Pinger to enter Europe with its SMS service quickly and efficiently by providing European phone numbers and an on-ramp to the European SMS networks. Without tyntec, there's no way we would have shipped in such a short period of time.

 

About tyntec

tyntec is a global mobile interaction service provider, offering high-quality mobile messaging and information services to mobile network operators, enterprises, mobile service providers and internet companies.

tyntec offers its customers a unique level of quality in 2-way SMS interaction services. This promise is based on the company’s pioneering service level agreements (SLAs) and end-to-end security of message transmission. tyntec enables its customers to reach more than 90% of global mobile subscribers and offers a 15-second SMS delivery guarantee, real-time delivery notifications of all messages and a no-message loss policy.

Founded in 2002, the company has 140 employees in offices in the UK, Germany and Singapore.

www.tyntec.com

 

Press contact:

Parys Communications

Patrick Herridge

+44 208 875 7960

pherridge(at)parys.com

 

tyntec

Alexander Handcock

+49 89 202 451 246

handcock(at)tyntec.com

 

About Pinger, Inc.
Pinger makes texting and talking free. Our market-leading communications products have been downloaded by millions of iPhone, iPod touch, iPad and Android users around the world. Pinger is loaded with inventive people who enjoy creating consumer products and services that make a difference in people's lives.
www.pinger.com.

Press contact:

Julia Vinyard
SutherlandGold Group for Pinger
pinger(at)sutherlandgold.com


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