An estimated 350 billion SMS (Short Message Service) messages were sent globally in 2001 and contributed, in some cases, as much as 20% to a carrier's bottom line. With possible returns such as these, U.S. carriers could no longer afford to overlook text messaging.

AT&T Wireless (AWE) led the way in November 2001, followed by VoiceStream's silent launch in January 2002 and Cingular's expected launch before March 30, 2002. Verizon Wireless and Sprint PCS (PCS) are expected to launch in April, with several smaller carriers, such as Leap Wireless and Dobson (LWIN), enabling inter-carrier messaging by the summer.

"There is strong indication that SMS usage and growth will follow global patterns." said Ted Theologis, Managing Partner and Lead Analyst for the Arena Intelligence Group. "Proof of this is the SMS usage spike witnessed on Valentine's Day 2002. There was an increase of 20%-30% in messages sent, compared to an average day, which is in line with the increase witnessed by European carriers."

SMS interoperability among carriers is a global trend. As reported in the Mobile Messaging Monitor, carriers in Brazil, China, and Hong Kong have recently announced interoperability agreements.

Mobile users throughout the world enjoy a wide range of SMS based services that make their lives easier, while carriers benefit from a significant source of non-voice revenue. Mobile ticketing, payments, dating and chatting are mainstay applications throughout the world. However, as a result of the lack of interoperability, few companies in North America have built solid revenue or m-commerce models based on SMS.

Detailed metrics and trend patterns are available to subscribers of the Mobile Messaging Monitor. Subscribers can closely track new services and applications launched every day throughout the world, contracts and agreements as well as the latest developments on Enhanced Messaging Services (EMS), Multimedia Messaging Services (MMS) and other mobile messaging technologies such as Wireless Instant Messaging (WIM).