Founded 15 years ago in Stockholm, Sweden, Sinch has seen both organic growth and strategic acquisitions, positioning itself at the forefront of enterprise communication solutions. In a conversation held during her recent visit to India, Laurinda Pang, CEO of Sinch AB, spoke to exchange4media and shared insights into the company’s journey from a messaging service provider to a global leader in digital communications.
“Sinch started as an SMS aggregation company,” Pang explained, adding, “We built integrations with 600 mobile network operators worldwide, allowing enterprises and wholesalers to send messages to consumers across the globe.”
Since then, the company has expanded far beyond SMS, incorporating channels like email and voice services to meet the needs of a rapidly digitizing world. One of the key drivers behind this evolution is the growing demand for businesses to connect with customers through a variety of digital channels. “For enterprises to differentiate today, they need to excel at digital transformation,” said Pang. “They have to connect with customers in ways that align with customer preferences, whether that’s via SMS, email, or other digital platforms.”
To that end, Sinch has acquired several companies, including Pathwire, known for its Mailgun and Mailjet email services, and IntelliQuint, a voice networking firm, enhancing the company's ability to provide a holistic digital communication experience. India plays a crucial role in Sinch’s strategy, particularly in the Banking and Financial Services (BFSI) sector, which relies heavily on SMS for secure, regulated communication. “India is one of the largest markets for SMS messaging,” Pang noted.
While WhatsApp is immensely popular in the region, “the predominance of our business in India today is still SMS,” she explained. This is largely because financial institutions are required to notify customers of transactions and other key updates via SMS, due to the country’s stringent regulatory environment.
Despite the dominance of SMS, Pang is excited about the future of Rich Communication Services (RCS), which she described as the “next evolution of SMS.” RCS provides enhanced security, analytics, and the ability to have more conversational interactions, something traditional SMS lacks. “RCS is more secure and offers businesses a better way to communicate with customers, providing richer, more branded experiences,” she added. While Sinch excels at serving large enterprises, Pang sees tremendous potential in expanding into the small and medium-sized enterprise (SME) sector, particularly in India. “There’s a massive opportunity with SMEs in India,” she said, pointing to the country’s ongoing shift from a cash-based economy to digital currencies. “These businesses are starting their digital journeys, and there’s an opportunity for us to diversify into a self-service model that scales with them.”
Pang believes that as smaller businesses embrace digital communication tools, Sinch can play a pivotal role in helping them connect with customers more effectively. “They understand that they need digital communications to transact with their end customers,” she emphasized. In the heavily-regulated industries that Sinch operates in, compliance is key. “We’re very astute at complying with regulations,” Pang noted, referring to the strict rules that govern communication in sectors like banking and finance. While Sinch doesn’t engage directly with regulators on a regular basis, they are deeply familiar with the regulations handed down by authorities. “We work across many jurisdictions and understand the challenges businesses face when it comes to security, data privacy, and compliance,” she said.
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