What Is an SMS Aggregator?
It's a common question in SMS marketing as to why SMS aggregators exist, when it seems like the most logical scenario would be for businesses to send and receive short code messages directly with the wireless carriers. There's actually two reasons why it's not practical for businesses to work directly with wireless carriers to send and receive their short code messages.
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The first reason is that in the United States there are hundreds of thousands of businesses, so if each business worked directly with the wireless carriers, this would put a significant amount of work on each wireless carrier. Not only would each business require their own contract with the wireless carriers, but the wireless carriers would have to onboard and support each business individually. The wireless carriers just don't have the infrastructure or resources to provide these services to each business individually.
The second reason that businesses don't work directly with wireless carriers, is that the majority of businesses don't have the infrastructure or resources to do so. If a business were to connect directly to each wireless carrier, that would require contracts with over 30 wireless carriers, and would require the business to have the infrastructure and resources to build 30-plus connections. It's for these reasons that businesses don't send messages directly to wireless carriers, and they use SMS aggregators.
The primary job of an SMS aggregator is to build and maintain all the relationships with the wireless carriers, and provide one contract and one connection to each application provider. This then gives application providers access to send and receive short code messages on all the wireless carriers with one contract, and one simple messaging connection.