The history of SMS and how it is used today
Short Message Service (SMS), more commonly called “text”, is the protocol for sending short messages over mobile networks. The first text message was sent in 1992; by 2010, SMS was the most widely used data application, adopted by 80% of mobile users.
Then came the rise of the smartphone.
Smartphones opened up channel after channel for consumers — from email and instant messaging to over-the-top content and messaging apps.
Yet despite the growth of those other channels, SMS remains widely used and remains one of the primary communication channels. Why? Here are four key reasons.
1. Text is the most effective way to reach users
A 90% read rate within minutes speaks to the timeliness of delivery. Compared with email and OTT (over-the-top) apps, SMS retains the highest engagement rate. As long as you have a phone and a service plan you can use SMS. That has driven adoption worldwide, because no pre-existing connection is required — no accepting a friend request, no requiring both parties to download the same app. That lower barrier lets users receive messages quickly, which makes SMS ideal for sending time-sensitive content.
2. SMS does not depend on high-speed internet
SMS is a one-size-fits-all solution that anyone with a mobile number can send and receive. Because it does not depend on high-speed internet, essentially anyone in modern society is reachable. OTT messaging apps such as WhatsApp, Facebook Messenger, Viber and WeChat only work when connected to the web, involve different applications, and require different hardware and software compatibility — cutting out users on feature phones or on smartphones the OTT app does not support. Not every OTT messaging app is available for Firefox OS, Windows, Blackberry, or older versions of iOS and Android. By contrast, users need neither a web connection nor membership of the same app to receive SMS.

3. Low operating cost, efficient delivery
The A2P landscape has shifted, making global telecommunications networks easier to reach. SMS can be classified as person-to-person (P2P), where two mobile subscribers exchange messages. Application-to-person (A2P) SMS, on the other hand, lets an application deliver messages to mobile subscribers. Typical A2P use cases include payment confirmations, appointment reminders, bank account updates, mobile ticketing and flight updates. The problem with traditional A2P SMS was that the process was cumbersome and could be expensive for a company to deploy. Today, new cloud communication platforms use easily deployed technology to raise the quality of message delivery. They also combine the pay-per-use cost model of cloud services with a simple telephony API, letting developers integrate easily into their applications while keeping operating costs low. In practice, advanced platforms give companies faster delivery times and better service reliability. That makes A2P SMS accessible to more companies — startups in particular — and frees application developers who were previously constrained by the manpower and financial resources traditional routing demanded.
4. Two-factor authentication
Two-factor authentication and security over SMS have both grown. As mobile devices have proliferated, more personal data travels over the web than ever before. To add a layer of security, two-factor authentication has become the leading way for companies to protect their users. Using SMS as the authentication method has grown increasingly popular, because users almost always have a mobile device with them. Sending a text is also cheap, and its ease relative to a 2FA voice call suits the pace of society today. Companies using SMS for two-factor authentication (where enabled) include Google, Apple, Facebook, Twitter, Dropbox, PayPal and LinkedIn.
Text messaging may look like dated technology today — but the reality is that SMS plays a key role in connecting most modern technology. From high user engagement and the benefits of 2FA to its reinvention in A2P applications, we continue to see SMS use develop.