txtNation using the innovative Control Panel Platform, helps media companies and carriers continue lucrative premium SMS sweepstakes programs made popular by hit television programs from NBC, ABC, Fox and others. txtNation provides value commensurate with the cost of the premium SMS and hence helps satisfy the legal requirements of a sweepstakes.
"Premium SMS sweepstakes represent an estimated $3 million per week (Telephia, June 2007) in revenue for major media companies. This service allows media companies, SMS aggregators and carriers to offer premium SMS sweepstakes, and continue to grow this valuable source of revenue and consumer interaction."
Premium SMS sweepstakes, through which customers enter a contest through text messaging on their mobile phones and are charged a premium -- typically $0.99 -- above the standard text-messaging rate, have become an integral part of media programming in the United States in recent years. Reality and game show TV formats such as Deal or No Deal, American Idol and The Apprentice have made such promotions a substantial revenue generator for media companies and mobile operators. However, concerns that these promotions may be legally classified as gambling have resulted in class action suits in Georgia (February 2007) against The Apprentice, and in California and Massachusetts (May 2007) against Deal or No Deal, American Idol and 1 vs 100.
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