A2P messaging: Regulator, Stakeholders share thoughts; NCC lists benefits

A2P messaging: Regulator, Stakeholders share thoughts; NCC lists benefits

A2P messaging illustration
-Courtesy: Google

Ahead of the final draft for the Application-to-Person (A2P) messaging licensing, the Nigerian Communications Commission (NCC) has engaged relevant stakeholders for inputs, debate and concurrence of ideas.

The telecom regulator said it has presented the various feedbacks received as inputs from stakeholders  into the A2P Licensing Framework being proposed by the Commission, adding that it has also given its responses to each or the observations and recommendations made by the licensees.

This was disclosed at the Virtual Stakeholders’ Forum, held at the weekend, which the Commission says is the beginning of the process, stressing that it will continue to engage internal and external stakeholders ahead of the Final Draft of the A2P Messaging Services Licensing Framework in line with its participatory rule making process.

A presentation by an Assistant Director at the Licensing and Authorisation Department of the NCC, Mrs. Truddy Tony-Awusaku,  provided broader insight into the concept of A2P  messaging in Nigeria.

DESCRIPTION:

Application-to-Person (A2P) messaging is a communication format in the telecommunications sector used to send Short Message Services (SMS) or sending notifications from an application directly to a recipient’s mobile phone.

Initiated through the Internet but recipients receive messages via Cellular Connection. In other words, A2P enables businesses to send SMS directly to recipients via mobile networks.

Common uses include marketing, notifications, alerts, transactional messages.

CURRENT STATUS OF INTERNATIONAL A2P MESSAGING IN NIGERIA

Lack of Regulation: No unified oversight.

Revenue Leakage: Payments often bypass local systems, not taxed, reducing economic benefits.

Security Risks: Increased spam, fraud, and illegal activities.

Market Disparities: Unregulated termination rates lead to inconsistencies.

JUSTIFICATION FOR LICENCING

Why Regulatory Oversight is Essential:

Standardized Tariffs and Fair competition.

Enhanced security against Spam and Fraud.

Fraud Prevention and Unwanted Traffic

Increased local revenue through Taxation and Levies.

Comprehensive Market Oversight.

LICENSING OBJECTIVES

Key Goals:

Centralize International A2P message Routing

Mandate compliance with a unified platform.

Protect user data with stringent security protocols.

Foster a competitive and transparent market.

 

LICENCE OVERVIEW

Scope of Licence:

Operate a centralized International A2P platform.

Route A2P messages securely.

Offer transactional and notification services.

Implement Subscriber opt in/out mechanisms

LIMITATIONS

Prohibited from providing Services not included in the Scope

No provision of non-licensed telecom services.

Prohibition against unauthorized activities.

Does not qualify for International Signaling Point Code (ISPC) and National Numbering Plan

KEY LICENSING FEATURES

License Fee: N10,000,000 Naira.

Tenure: 5 years (renewable).

Market: Open to competition with provisions for fair practices.

ELIGIBILITY CRITERIA

Registered Corporate Body in Nigeria

Have a Contract Agreement with a Host Network Operator or National Carrier

Proof of Financial Capabilities for CAPEX/OPEX

Any other as may be Required

TECHNICAL AND SECURITY REQUIREMENTS

Technical Needs:

Capacity to Integrate with local MNOs.

Capacity to route A2P Messages through Centralized SMS firewall.

Systems for Fraud detection, Data Protection & Encryption.

Security Measures:

Encryption protocols.

Data protection compliance.

Spam and fraud filtering.

INTERCONNECTION/INTEGRATION

A2P Provider must interconnect with licensees who provide voice and SMS services pursuant to an Interconnect Agreement duly approved and filed by the Commission.

All local MNOs and international A2P messaging service providers must integrate their systems with the centralized A2P platform within a specified period

REGULATORY COMPLIANCE

Adherence to all relevant NCC Regulations

Compliance to Nigerian Data Protection Regulation

Submission of periodic reports (Traffic data, Revenue, and Service quality metrics).

Compliance with standardized tariffs and licensing conditions.

BREACH OF LICENCE CONDITIONS

Sanctions, including fines, suspension, or revocation of the licence.

Non-compliance with Tariff regulations, failure to meet security standards, or tax evasion will attract penalties as stipulated by the NCC.

BENEFITS OF LICENCE

Improved Security: Safeguard against spam and fraud.

Revenue Retention: Local economic growth through taxation.

Market Oversight: Transparency in operations and tariffs.

Enhanced User Trust: Protection of subscriber data.

CONCLUSION

Towards a Secure and Regulated Ecosystem:

The International A2P Messaging Licence ensures fair, secure, and efficient communication.

Fosters economic growth while protecting consumers and businesses.

Encourages a competitive and transparent telecommunications market.