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SMS Pumping, Attempted Coups, and Watching the Fraud Watchmen: Episode 7 of The Commsrisk Show

Tim Biddle of Sinch explained why fraudsters use bots to generate artificial SMS traffic and what can be done to stop them.

The use of bots to pump fraudulent SMS traffic has been a scalding hot topic since Elon Musk claimed SMS pumping was causing losses of USD60mn a year at Twitter and then followed up by turning off SMS as a second factor of authentication for non-paying users. We could feel the heat during the livestream of episode 7 of The Communications Risk Show thanks to all the questions and comments that poured in from the live audience; there were far too many to read them all during the program. Thankfully, special guest Tim Biddle (pictured top right) adroitly navigated us towards a better understanding of this topic, based on his visibility of large volumes of SMS traffic at his current employer, Sinch, as well as the experience he gained whilst previously employed by some of Britain’s leading telcos. Tim answered as many questions as he could, but it is obvious that we need him to return for a future episode so we can cover all the points raised by the live audience but which we did not have time to explore yesterday.

My co-presenter, Ed Finegold, and I had no problem warming up when discussing the other big topic for episode 7, which was the severe criticism of the US STIR/SHAKEN regime by senior telecoms lawyer Jonathan Marashlian. Nearly 2,000 years have passed since Roman poet Juvenal asked quis custodiet ipsos custodes?, which is often translated as who watches the watchmen?, a question that is still difficult to answer. Marashlian cast doubt over whether the big US telcos that dominate America’s Industry Traceback Group (ITG), the consortium that traces nuisance robocalls and hence informs the regulator about carriers that deserve to be sanctioned, would always treat smaller US carriers fairly. He openly stated the opinion that much of the bad traffic received by US consumers comes from the telcos that run the ITG. But even if Marashlian is right, there is no way to delegate responsibility for analyzing and identifying the sources of bad traffic without addressing awkward questions about who is competent to perform this task. Ed and I ruminated on the issues involved in wanting to have independent scrutiny to ensure consumer protection objectives do not feed into anti-competitive behaviors, whilst acknowledging the challenge of finding somebody who would know enough to determine where to draw the line.

Both debates are bound to roll on and on. You can contribute to the conversation during each Wednesday livestream by using the messaging window at tv.commsrisk.com. And if you missed yesterday’s show then catch up by watching the recording below.

Eric Priezkalns
Eric Priezkalnshttp://revenueprotect.com

During his career, Eric has been a Director of Risk Management for a national telco, the Chief Executive of the Risk & Assurance Group, a Chief Marketing Officer for a software business, a consultant, a public speaker and the publisher of Commsrisk since its launch in 2006. Look here for more about the history of Commsrisk and the role played by Eric.

The comms providers that Eric has worked for include Qatar Telecom, Cable & Wireless, T‑Mobile, Sky and Worldcom. In addition to his proficiency at speaking about the current scamdemic, Eric is also a qualified chartered accountant and a subject matter expert in consumer protection, enterprise risk management, fraud prevention, data integrity and billing accuracy. Eric was the lead author of Revenue Assurance: Expert Opinions for Communications Providers, published by CRC Press. He can be reached through the contact form on this website.

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Our Global Fraud Dashboard uses AI-powered search to collate, update and visualize data about scams and other network abuses from around the world. New charts are added each month. See it here.

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