In telecom, delivery is not a feature, it is a foundation. When A2P traffic fails to land on time, operators lose more than revenue… they lose credibility with international enterprises, clients, service partners, and end users.
Monty Mobile has established itself as a global leader in A2P messaging by addressing industry-wide challenges at scale. Recognized as one of the top international SMS aggregators, Monty Mobile stands out not only for its expansive global reach but also for its consistent and measurable performance across partner networks. MNOs who collaborate with Monty Mobile often report significant improvements in A2P messaging KPIs, particularly delivery rates, revenue recovery, and enterprise satisfaction, within the first three months of integration.
This performance is especially critical amid the ongoing shift in the messaging ecosystem, where OTTs have increasingly migrated to alternative channels, leading to a rise in artificial inflation of traffic (AIT) and substantial revenue leakage for MNOs. Monty Mobile’s strategic framework directly addresses these disruptions by optimizing delivery efficiency, minimizing reliance on grey routes, and restoring pricing models that retain OTT participation. Through these measures, Monty Mobile empowers operators to sustain and grow their A2P revenue streams while reinforcing trust with global enterprise clients.
The 2014 Disruption: When OTTs Reshaped the Telecom Landscape
The telecom industry has undergone multiple shifts over the past decade, but none as defining as the transition that began in 2013. As P2P messaging volume declined due to the rise of OTT platforms like WhatsApp, Facebook Messenger, and Viber, A2P messaging quickly emerged as a core revenue stream for MNOs and soon surpassed the previous P2P revenues by far. However, this revenue stream is now under threat. By Q4 2023, the A2P SMS market experienced a dramatic contraction, dropping by as much as 80% in certain regions, according to a recent study. This sharp decline was driven by a combination of artificial inflation of traffic (AIT), unsustainable termination costs, and the growing reluctance of major OTT players to maintain SMS-based user engagement.
A critical example is Indonesia, where the inflated A2P pricing model and grey routing exposure prompted major OTTs like Google and Telegram to withdraw entirely from the market, halting OTP and authentication-related messaging. Similar patterns are emerging across the Middle East, where high costs and unreliable delivery have weakened trust in SMS channels. It’s important to note that when operators lose up to 80% of their A2P traffic, they don’t bounce back to 100%, even under recovery efforts, they typically regain only 60%. This irreversible loss signals a structural change in how enterprises and OTTs approach messaging and serves as a warning for operators still prioritizing short-term revenue over long-term sustainability and trusted partnerships.
The High Cost of False Promises: From Advance Payments to Unpaid Dues
In recent years, mobile operators have increasingly fallen prey to a wave of aggregators promising a surge in A2P SMS traffic volumes, often backed by tempting offers like upfront trimester payments. Lured by the promise of easy revenue, some operators have broken long-standing, trusted partnerships with top-tier aggregators who maintain excellent relations with major OTT players. However, the reality soon unravels. All of these new aggregators exploit contractual loopholes that allow them to withhold future payments, leaving operators without the promised revenue and without the stability of their former partners. Most importantly, issues with OTTs will persist, as they are likely to continue blocking SMS-based OTPs due to excessively high termination rates and the elevated risk of AIT.
The A2P Trap Mobile Operators Must Avoid
The fundamental oversight in many operator-aggregator agreements lies in a misinterpretation of how legitimate A2P traffic is actually generated. Authentic A2P SMS originates exclusively from enterprises and OTT platforms that send transactional messages, such as OTPs, to real, active subscribers. Aggregators are conduits, not creators, of this traffic. Therefore, when an aggregator overbids, and overpromises unrealistic volumes without verifiable partnerships with major OTTs or enterprise clients, they are either significantly inflating rates, some cases reaching €0.35 per SMS, or worse, generating artificial traffic through AIT.
Both practices have devastating consequences. High termination rates lead to OTT disengagement, while AIT undermines trust in the SMS ecosystem. Once enterprise clients or OTTs begin flagging a network for unreliable delivery or inflated billing, OTP traffic is blocked, and this loss is often irreversible. These tactics not only affect current revenue, but also compromise the long-term viability of the SMS channel as a trusted authentication tool. Operators that fall for such unsustainable models risk violating fair use agreements, damaging their reputation, and breaching commercial terms with global OTTs. In telecom, short-term traffic spikes cannot substitute for long-term credibility, and only trusted, transparent partnerships can secure the future of A2P monetization.
From Maximizing Revenue to Managing Expectations
Historically, MNOs have operated with one overarching goal: maximize revenue per SMS. But that mindset is becoming increasingly unsustainable in a world where digital messaging alternatives dominate. While it’s natural for operators to protect their margins, holding out for premium prices is driving away traffic rather than attracting it. OTPs and transactional traffic, which were once the lifeline of A2P SMS, are now being rerouted to alternative channels due to excessive pricing and rigid contractual demands.
Why Trust with OTTs and Enterprises Matters Now More Than Ever
Today, OTT platforms handle the vast majority of global OTP traffic, making their alignment with mobile operators critical to the future of SMS-based communication. OTTs and global brands alike are growing increasingly cautious of mobile operators demanding high-volume commitments or unsustainable rates. These terms create friction, not cooperation. The market has matured, and the focus must now shift from short-term bidding wars to long-term partnerships with aggregators and carriers who are trusted by international enterprises and OTTs.
Quality Over Quantity: Rethinking the Traffic
Rather than fixating on boosting SMS revenue at any cost, operators need to prioritize delivery quality, routing integrity, and pricing transparency. Lowering prices to regain lost traffic is part of the new reality, but those reductions must be strategic, not self-destructive. MNOs that maintain inflated expectations are not only losing out on traffic but have already pushed enterprises to bypass them altogether. The strategy of demanding premium rates and high commitments has worked for a decade, but the market has evolved, and so should the strategy.
The Path Forward: Sustainable Growth Through Tier-One Partnerships
To protect and grow A2P revenues in the coming years, MNOs must reset their expectations and focus on building strategic alliances. This means selecting aggregators and carriers that are recognized and trusted by global OTTs. These players bring stability, compliance, and a direct line to enterprise messaging traffic. MNOs that continue to focus solely on revenue are likely to find themselves sidelined, while those that adopt a cooperative, value-driven mindset will remain central to the international A2P ecosystem.
Future Proof MNOs
MNOs must move beyond traditional messaging models and embrace a broader portfolio of digital innovations. This includes investing in fintech solutions, digital lending platforms, AI-powered service optimization, super apps, and travel eSIM offerings, all of which unlock new, high-margin revenue streams while strengthening direct engagement with subscribers. Platforms like Moya enable operators to upgrade and expand their networks through low-CAPEX infrastructure models, while simultaneously reducing OPEX via intelligent automation, cost-efficient communication channels, and data-driven decision-making tools.
Technologies such as eSIM provide scalable, borderless connectivity for both consumers and IoT ecosystems, creating recurring revenue opportunities and enhancing user experience. Meanwhile, Mobile Digital Banking Services (MDBS) empower MNOs to evolve into fintech enablers, offering digital wallets, instant payments, micro-lending, and financial inclusion solutions directly from the mobile network. By diversifying in this way, operators reduce their reliance on volatile A2P SMS revenues and regain strategic control over the value chain, positioning themselves once again as central players in the digital economy they helped build.
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