According to a new report, mobile network operators will lose billions of dollars in revenue due to undetected "flash calls."
Juniper Research findings (opens in a new tab) state that operators could lose an estimated €1.3 billion between 2023 and 2027 as the alternative calling method becomes more widely used.
Flash calls take advantage of voice networks to verify customers, automatically using the last few digits of an original phone number instead of asking them to enter a code received via text message.
flash call problems
The report notes that more and more companies are turning to this extremely cost-effective channel, rather than relying on conventional SMS authentication techniques. However, the inability of operators to detect lightning call traffic is expected to result in lower SMS business revenue for operators.
Juniper notes that network operators will not be able to notice more than 90% of flash call traffic by 2023 alone, but due to the increasing use of detection services provided by third-party firewall vendors, this number is expected to drop significantly to 45 .% by 2026
He suggests that operators use voice firewall technologies that can distinguish between flash call traffic and current P2P voice calls to solve the problem. This strategy would allow operators to monetize flash call traffic while reducing lost business revenue from SMS messaging.
Operators must choose to deny or monetize identified traffic as firewalls identify more flash call activity. Therefore, to avoid inconvenience to customers and reduce the value of voice channels, research advises operators to prioritize traffic monetization.
The report estimates that as voice firewalls become more widely used, carrier losses from undetected flash calls will begin to decline year-over-year as carriers discover and monetize more traffic. By 2027, it predicts that flash call revenue will reach €450 million worldwide, surpassing losses from unidentified flash call traffic for the first time.