Asia Pacific application to person (A2P) SMS revenue is on track to grow 4.6% to $30.52 billion over the next five years, according to Nexmo.
Industry data released by the company seeks to explain trends driving surging growth for the global cloud communications space for the next five years.
The data show that global A2P SMS traffic is poised to grow 63% from 1.4 trillion messages in 2013 to 2.19 trillion messages in 2018.
Also, global revenue generated from A2P SMS is projected to grow from $55.04 billion in 2014 to $70.32 billion in 2020.
This is in contrast to predictions that Nexmo's OTT collaboration with Viber will spark a decline in A2P SMS revenue.
North America leads the regions with a projected 3.8% growth from $15.13 billion to $18.87 billion.
The data further show that over 350 billion global SMS messages are sent every month.
While A2P messaging was originally popular among marketers, other fields are increasingly using cloud communications. Retail, finance, hospitality, travel and transport and gaming lead global volumes of A2P SMS.
The cloud communications company’s research comes out as IDC forecasts global market revenue to grow from $123 million in 2013 to $7.5 billion in 2018 at a 127% CAGR.