Click here to close now.


Blog Feed Post

Global research reveals almost 50% of failed One-Time Passwords are on average due to invalid mobile numbers

90% of IT managers plan to adopt SMS-enabled two-factor authentication this year as majority abandon traditional security measures

London, UK - 12th March 2014 - New global research by the Ponemon Institute, sponsored by mobile interaction service provider tyntec, has revealed that on average almost 50% of One-Time Passwords(OTPs) fail to arrive due to invalid mobile numbers provided by end-users. For the report titled 'Unlocking the Security Potential: The Key to Effective Two-Factor Authentication' the Ponemon Institute surveyed more than 1,800 IT and IT security practitioners around the world.

The research also revealed that 65% of respondents felt the traditional username and password approach was insecure. As a result, 90% of global IT managers say their organisations plan or consider the possibility to adopt SMS-enabled two-factor authentication (2FA) in 2014 in order to improve online security.

Influx of failed One-Time Passwords
The majority of international respondents (31%) cited on average 11-20% is the amount of OTPs that fail to be delivered. Of that, almost 50% on average fail because an invalid mobile number was entered by the end-user. As well as end-users providing invalid mobile numbers, OTPs can also fail due to technical error if companies choose to deploy cheap SMS solutions which offer poor delivery rates.

To combat these technical difficulties, 66% of respondents said they would be interested in verifying where end-users are located and to check their mobile number is valid in real-time. The research confirmed that currently only 4% of respondents verify mobile numbers before sending OTPs.

In addition, 55% of all those surveyed, considered SMS-enabled two-factor authentication to be more secure than other 2FA methods. 71% of respondents prefer SMS-enabled 2FA because it's an easy solution for their end users.

Solution: mobile number verification
Thorsten Trapp, Co-Founder and CTO for tyntec commented: "To service providers looking to increase security for their users, the ability to pre-verify mobile numbers is essential. In addition to accruing costs in messaging fees, invalid mobile numbers also result in unauthenticated One-Time Passwords, un-activated accounts and un-met expectations on behalf of both the sender and end-user. Companies therefore need to ensure that the balance between cost and reliability is optimised right from the beginning. By performing a validity check of the mobile numbers provided in real-time, companies can instantly notify users. As a result, service providers can improve customer satisfaction with fewer complaints, reduced customer support costs and higher conversion rates."

Larry Ponemon, Chairman and Founder of the Ponemon Institute, added: "Enterprises and internet companies know that the traditional username and password is simply not enough anymore. However, companies deploying SMS-enabled two-factor authentication need to ensure that one-time passwords aren't being sent to invalid mobile numbers. As a result, the research confirmed that 67% of respondents said customer experience improves when SMS-enabled two-factor authentication is combined with real-time verification of the receiver's mobile number."

tyntec is a specialist provider of global SMS interaction solutions, allowing large enterprises access to high-quality mobile authentication services. tyntec allows companies in a wide range of sectors to implement two-factor authentication via its OTP SMS service in a reliable, secure and straightforward way.

For more information, download the free report and infographic at


Research was conducted by the Ponemon Institute in January 2014 in four global regions: North America (NA), Europe, Middle East and Africa (EMEA), Asia-Pacific plus Japan (APJ) and Latin America plus Mexico (LATAM). The study utilised a demographically balanced omnibus sample of IT and IT security practitioners positioned in Forbes Global 2,000 companies with bona fide credentials. Survey procedures were based on scientific methods that permitted extrapolation and population inferences.

About tyntec
tyntec is a mobile interaction specialist, enabling businesses to integrate mobile telecom services for a wide range of uses - from enterprise mission-critical applications to internet services. The company reduces the complexity involved in accessing the closed and complex telecoms world by providing a high quality, easy-to-integrate and global offering using universal services such as SMS, voice and numbers.

Founded in 2002, and with more than 150 staff in six offices around the globe, tyntec works with 500+ businesses including mobile service providers, enterprises and internet companies.

About Ponemon Institute
Ponemon Institute is dedicated to independent research and education that advances responsible information and privacy management practices within business and government. Our mission is to conduct high quality, empirical studies on critical issues affecting the management and security of sensitive information about people and organizations.

Press contact tyntec
Caroline Dreier
+49 89 202 451 140
[email protected]

Press contact UK PR agency
MWW London
+44 208 875 7970
[email protected]

Source: RealWire

Read the original blog entry...

More Stories By RealWire News Distribution

RealWire is a global news release distribution service specialising in the online media. The RealWire approach focuses on delivering relevant content to the receivers of our client's news releases. As we know that it is only through delivering relevance, that influence can ever be achieved.

Latest Stories
Container technology is shaping the future of DevOps and it’s also changing the way organizations think about application development. With the rise of mobile applications in the enterprise, businesses are abandoning year-long development cycles and embracing technologies that enable rapid development and continuous deployment of apps. In his session at DevOps Summit, Kurt Collins, Developer Evangelist at, examined how Docker has evolved into a highly effective tool for application del...
The Internet of Things is clearly many things: data collection and analytics, wearables, Smart Grids and Smart Cities, the Industrial Internet, and more. Cool platforms like Arduino, Raspberry Pi, Intel's Galileo and Edison, and a diverse world of sensors are making the IoT a great toy box for developers in all these areas. In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists discussed what things are the most important, which will have the most profound...
As organizations shift towards IT-as-a-service models, the need for managing & protecting data residing across physical, virtual, and now cloud environments grows with it. CommVault can ensure protection & E-Discovery of your data - whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise.
PubNub has announced the release of BLOCKS, a set of customizable microservices that give developers a simple way to add code and deploy features for realtime apps.PubNub BLOCKS executes business logic directly on the data streaming through PubNub’s network without splitting it off to an intermediary server controlled by the customer. This revolutionary approach streamlines app development, reduces endpoint-to-endpoint latency, and allows apps to better leverage the enormous scalability of PubNu...
Growth hacking is common for startups to make unheard-of progress in building their business. Career Hacks can help Geek Girls and those who support them (yes, that's you too, Dad!) to excel in this typically male-dominated world. Get ready to learn the facts: Is there a bias against women in the tech / developer communities? Why are women 50% of the workforce, but hold only 24% of the STEM or IT positions? Some beginnings of what to do about it! In her Day 2 Keynote at 17th Cloud Expo, San...
Apps and devices shouldn't stop working when there's limited or no network connectivity. Learn how to bring data stored in a cloud database to the edge of the network (and back again) whenever an Internet connection is available. In his session at 17th Cloud Expo, Ben Perlmutter, a Sales Engineer with IBM Cloudant, demonstrated techniques for replicating cloud databases with devices in order to build offline-first mobile or Internet of Things (IoT) apps that can provide a better, faster user e...
In today's enterprise, digital transformation represents organizational change even more so than technology change, as customer preferences and behavior drive end-to-end transformation across lines of business as well as IT. To capitalize on the ubiquitous disruption driving this transformation, companies must be able to innovate at an increasingly rapid pace. Traditional approaches for driving innovation are now woefully inadequate for keeping up with the breadth of disruption and change facin...
Today air travel is a minefield of delays, hassles and customer disappointment. Airlines struggle to revitalize the experience. GE and M2Mi will demonstrate practical examples of how IoT solutions are helping airlines bring back personalization, reduce trip time and improve reliability. In their session at @ThingsExpo, Shyam Varan Nath, Principal Architect with GE, and Dr. Sarah Cooper, M2Mi’s VP Business Development and Engineering, explored the IoT cloud-based platform technologies driving t...
I recently attended and was a speaker at the 4th International Internet of @ThingsExpo at the Santa Clara Convention Center. I also had the opportunity to attend this event last year and I wrote a blog from that show talking about how the “Enterprise Impact of IoT” was a key theme of last year’s show. I was curious to see if the same theme would still resonate 365 days later and what, if any, changes I would see in the content presented.
Cloud computing delivers on-demand resources that provide businesses with flexibility and cost-savings. The challenge in moving workloads to the cloud has been the cost and complexity of ensuring the initial and ongoing security and regulatory (PCI, HIPAA, FFIEC) compliance across private and public clouds. Manual security compliance is slow, prone to human error, and represents over 50% of the cost of managing cloud applications. Determining how to automate cloud security compliance is critical...
Culture is the most important ingredient of DevOps. The challenge for most organizations is defining and communicating a vision of beneficial DevOps culture for their organizations, and then facilitating the changes needed to achieve that. Often this comes down to an ability to provide true leadership. As a CIO, are your direct reports IT managers or are they IT leaders? The hard truth is that many IT managers have risen through the ranks based on their technical skills, not their leadership ab...
In his General Session at DevOps Summit, Asaf Yigal, Co-Founder & VP of Product at, explored the value of Kibana 4 for log analysis and provided a hands-on tutorial on how to set up Kibana 4 and get the most out of Apache log files. He examined three use cases: IT operations, business intelligence, and security and compliance. Asaf Yigal is co-founder and VP of Product at log analytics software company In the past, he was co-founder of social-trading platform Currensee, which...
The Internet of Things (IoT) is growing rapidly by extending current technologies, products and networks. By 2020, Cisco estimates there will be 50 billion connected devices. Gartner has forecast revenues of over $300 billion, just to IoT suppliers. Now is the time to figure out how you’ll make money – not just create innovative products. With hundreds of new products and companies jumping into the IoT fray every month, there’s no shortage of innovation. Despite this, McKinsey/VisionMobile data...
Just over a week ago I received a long and loud sustained applause for a presentation I delivered at this year’s Cloud Expo in Santa Clara. I was extremely pleased with the turnout and had some very good conversations with many of the attendees. Over the next few days I had many more meaningful conversations and was not only happy with the results but also learned a few new things. Here is everything I learned in those three days distilled into three short points.
DevOps is about increasing efficiency, but nothing is more inefficient than building the same application twice. However, this is a routine occurrence with enterprise applications that need both a rich desktop web interface and strong mobile support. With recent technological advances from Isomorphic Software and others, rich desktop and tuned mobile experiences can now be created with a single codebase – without compromising functionality, performance or usability. In his session at DevOps Su...