Infobip Unveils Solution to Curb Fake SMS Traffic

Cybercriminals are continually finding new methods to exploit weaknesses in and around SMS communication as brands increasingly use it to engage with customers.

To address this issue, Infobip, a global cloud communications platform, has launched “Signals” – a novel method meant to mitigate the hazards posed by SMS pumping.

“Infobip Signals” uses machine learning to detect and stop fraudulent SMS communications without the need for human intervention.

This application is designed for brands who wish to preserve their cash resources while still maintaining a real user base by preventing phoney accounts from lowering their value.

SMS pumping, also known as artificially inflated traffic (AIT), is a type of fraud in which attackers generate a large volume of bogus SMS traffic via a business’s app or website in order to get one-time PINs (OTPs) or app download links via SMS.

In the field of SMS pumping, fraudsters use automated bots to create fake accounts and manually enter phone numbers into online forms linked to SMS networks.

This results in the transmission of OTP SMS messages, which increases corporate expenses, especially when these fraudulent OTP requests are directed to high-cost SMS destinations.

Businesses typically become aware of this form of fraud when they evaluate anomalies between their SMS invoicing and projected SMS traffic returns.

Unusual OTP requests coming from regions or countries where a company does not normally receive traffic can be a red sign for possible SMS pumping fraud.

According to research, SMS traffic fraud will cost firms a whopping Ksh1.4 trillion (USD 10 billion) globally in 2021.

The Kenya Economic Survey 2023 shows, domestic SMS traffic increased by 20%, rising to 51.3 billion in 2022 from 42.8 billion the previous year.

International SMS messages sent to Kenya nearly doubled during the same period, hitting 34.8 million, compared to 19.8 million sent from the country.

The number of cybersecurity alerts issued by Kenyan enterprises climbed from 8 million in 2021 to 13.7 million in 2022.

This rise is due to the sophisticated and dynamic nature of cyber attacks.

The Uganda Communication Commission (UCC) stated in its bi-annual consumer report that the country’s telecommunication carriers received 205,511 consumer complaints, including those connected to SMS pumping fraud.

According to the survey, several businesses in Uganda will publish more cybersecurity recommendations in 2022.

“In an ecosystem where every active user counts and brand integrity is a priority, Infobip Signals is our answer to ensuring businesses can thrive without the burden of SMS fraud. This is not just about financial security; it’s about upholding the genuine value of every brand,” said Adrian Benic, Chief Product Officer at Infobip.

Infobip Signals, which is now available for global adoption, demonstrates Infobip’s commitment to providing new solutions to modern communication difficulties.

By incorporating Infobip Signals into their security framework, any firms that use SMS in their operations may now protect themselves from potential financial setbacks and reputational damage.