Growing threats to the A2P market could undermine its potential for growth

The application-to-person (A2P) messaging market has grown steadily in recent years, particularly during the COVID-19 pandemic and in the years immediately following. However, a number of new threats are emerging that could jeopardise the future growth of the A2P market. Lower-cost messaging apps, like WhatsApp, are expected to keep taking share from traditional SMS. Additionally, other authentication techniques may also take spend away from A2P services. Our forecast still anticipates robust growth in A2P spend in the next 5 years, but this will depend on how market players respond to these threats.