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Twilio

Programmable messaging API that underpins many SMS products

Overview

Twilio was founded in 2008 to simplify the global telecommunications network for software developers and reports more than 400,000 active customer accounts as of 30 September 2025.[27] It is included here because many businesses build their own SMS marketing on its API, and because its published per-segment rates are a reference point for the cost of the underlying traffic.

Twilio Messaging sends SMS, MMS and RCS through long codes, toll-free numbers and short codes. Unlike the other entries it provides no marketer-facing campaign editor in the core messaging product: segmentation, scheduling and consent logic are built by the customer’s developers. Twilio’s documentation sets out the A2P 10DLC registration that US carriers require for application-to-person traffic over 10-digit numbers, including by individuals and hobbyists; unregistered traffic incurs extra carrier fees and more filtering.[28]

US outbound SMS costs US$0.0083 per segment on long-code, toll-free and short-code numbers, and MMS US$0.022 per message, before per-carrier fees that range from US$0.0035 (AT&T) to US$0.005 (Verizon) for long-code SMS. A long code rents for US$1.15 a month and a random short code for US$1,000 a month billed quarterly. A US$0.001 fee applies to each failed message.[26] Committed-use discounts are available through sales.[26]

Twilio features

  • Programmable agent interface and routing
  • Active-user-hour or named-user billing
  • Metered Twilio services (TaskRouter, Studio, Conversations)
  • WhatsApp session messages included
  • 5,000 free active user hours for new accounts
  • SMS, MMS and RCS via API
  • Long code, toll-free and short code
  • Per-segment US pricing

Twilio pricing

From US$1 per active user hour, or from US$150 per named user per month; User + usage plan US$35 per monthly active user plus metered services. 5,000 free active user hours for new accounts.

Twilio strengths and limitations

Strengths

  • Revenue growth of 13.7%
  • Large developer base
  • Profitable in the latest year
  • Hourly billing suits part-time and seasonal teams
  • Fully customisable in code
  • Large free allowance for new accounts

Limitations

  • Net margin under 1%
  • Usage-based revenue
  • Revenue growth below the top-ten average
  • Requires developer resources
  • Metered services make costs less predictable
  • Named-user billing is not prorated mid-month

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