UK Wireless Nets To Intro Inter-Network SMS Fees 
By Steve Gold, Newsbytes LONDON, ENGLAND, 25 Jan 2001, 7:59 AM CST

The UK's five wireless carriers are bracing themselves for a barrage of
criticism from mobile users after agreeing to charge each other around 3
pence (4.5 cents) per text message routed between their networks. 

While the carriers expect that the inter-system SMS (short message
system) text message fees will balance themselves out, much as public
switched telephone network (PSTN) switching fees also average out
between carriers, the move is not good news for text message-using
members of the public. 

This is because many UK Web sites use free Web-to-SMS messaging
facilities to entice users to their pages. Already, one Internet service
provider (ISP), Totalise (http://www.totalise.net ) has suspended its
Web-to-SMS gateway in anticipation of the inter-network fees, which are
expected to kick in on Feb 1. 

Another Web-to-SMS gateway, meanwhile, SMSBoy (http://www.smsboy.com )
said it is reviewing the situation. 

However, the UK wireless networks may have shot themselves in the foot
over the whole issue, as several European and global carriers are
already in discussions with some UK portal providers about routing
Web-to-SMS text messages via their networks. 

International inter-network SMS text messages do not generally generate
inter-network fees because of the low costs involved. 

One company, Xtempus, has already announced it is offering European-wide
connectivity for SMS text messaging, using a multi-operator SMS
connectivity center. 

The firm said that while carriers are seeking to maximize revenues from
SMS-based services the ability to have a single point of distribution
will enables its customers - including large companies and systems
integrators - to send high volume two-way messages across Europe easily
and cost-effectively. 

Geoffrey Baird, Xtempus' CEO, said that although WAP (wireless
application protocol) has provided the news behind m-commerce, SMS is
delivering services today. 

"For example, our SMS message center could be used to send drug
information to doctors, or traffic updates to taxi drivers. It's about
delivering time critical information to groups of people in the most
effective and immediate way possible," he said. 

Xtempus said that its center is now operational for UK customers and
will be rolled out in France, Germany, Spain and Italy within the next
few months. 

Baird said that as the UK wireless carriers introduce inter-network
charges for SMS the cost of traffic will increase, the Xtempus service
saves companies from paying these additional charges. 

"This means that companies can now deliver services to a European market
instantly and cheaply," he said. 

Xtempus said it is already working with several leading companies who
are keen to exploit the the SMS center's facilities. 

Xtempus is at http://www.xtempus.com . 

Reported by Newsbytes.com, http://www.newsbytes.com .