Effective Date: November 1, 2024
Applies To:
- Region: United States and Canada
- Product: 8x8 Work (UC)
- Feature: SMS and MMS Messaging
- Billing Type: Usage-based (outbound only)
Overview
8x8 has introduced a usage-based billing model for outbound SMS and MMS messaging. This update aligns with carrier requirements, rising messaging costs, and industry standards, while continuing to provide predictable allowances for most customers.
Under this model:
- Each account receives a monthly outbound message allowance
- Charges apply only when outbound usage exceeds the allowance
- Inbound messages are not charged
What’s Changing
Summary of Changes
- SMS/MMS billing transitions to usage-based at your next renewal on or after November 1, 2024
- Allowances are calculated at the account level, not per user
- Charges apply only to outbound SMS/MMS usage
- Inbound SMS/MMS messages remain free
Why This Change Is Happening
This update reflects:
- New requirements and fees imposed by mobile carriers
- Increased operational costs for SMS/MMS delivery
- The need for a fair and flexible billing approach
8x8’s model ensures:
- No inbound message charges
- A pooled allowance for flexibility across users
- Coverage for typical messaging usage patterns
How the SMS/MMS Allowance Works
Monthly Allowance Calculation
Your account’s monthly outbound SMS/MMS allowance is calculated as:
Number of applicable licenses × 50 outbound message segments
- Applies to X2–X8 licenses
- Allowance is pooled across the entire account
- Designed to cover typical customer usage
- Click here to view applicable licenses
Example
20 applicable licenses × 50 = 1,000 outbound message segments per month
20 applicable licenses × 50 = 1,000 outbound message segments per month
A full list of applicable licenses is available in the linked reference.
Important Allowance Rules
- Only outbound messages count toward the allowance
- Inbound messages are free
- Allowances do not roll over month to month
- Messages may consume multiple segments depending on:
- Length
- Emojis
- Special characters
- HTTPS is required for all SMS/MMS traffic
- Unregistered SMS/MMS traffic is not supported
Billing Timing
When Will Billing Change?
- Billing updates occur at your next renewal on or after November 1, 2024
- No changes are applied before renewal
- November 1, 2024, is the earliest possible effective date, not an automatic billing change
What Your Billing Statement Will Show
Your billing statement will include:
- SMS/MMS Usage Summary section
- Separate line items for:
- SMS/MMS overages
- Other usage charges (e.g., international calls, recordings)
- A downloadable SMS/MMS Usage CSV file
SMS/MMS Usage Data and Rates
Message Billing Notes
- Usage is billed by message segments
- Segment count varies by message content
- Rates differ for SMS vs MMS
Accessing Detailed Usage
- Downloadable CSV files provide:
- Message segment counts
- Associated charges
- Separate columns for SMS/MMS usage
What will my billing statement look like?
Your monthly SMS/MMS Usage Summary will appear near the end of your billing statement:
Note that your messages may be billed differently, depending on the length and/or complexity of each message (e.g., emojis, special characters or letters).
Inbound and outbound SMS/MMS message rates are as follows:
Detailed SMS/MMS usage statistics are available in CSV format by clicking Download SMS/MMS Usage(CSV):
The Service Summary (CSV) file download on your billing statement will also include a column for your SMS/MMS Charges, separate from other usage overages (e.g., international usage, call recordings, etc.).
Important Notes:
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How do I access and calculate my current UC SMS/MMS usage?
As of October 10, 2024, all customers can access their current SMS/MMS usage data in the Billing Portal at any time, even if their service has not yet been converted to usage-based billing.
To access your SMS/MMS usage data:
- Log in to the 8x8 Support Portal (Application Panel)
- Click on the Billing tile.
- In Billing Statements, click on the three dots in the Action column of the billing statement you wish to review, and click View invoice/billing statement.
- Click Download SMS/MMS Usage (CSV) at the top or bottom of your billing statement to initiate the download of the CSV file.
- Save the CSV file and open it in a spreadsheet application such as Microsoft Excel or Google Sheets.
- Your SMS/MMS usage is billed by message segments, so the data you need is in the Message Segment Count column.
- Calculate a SUM of all rows below the header in this column. This is your current SMS/MMS usage.
Comparing Messaging Usage vs Allowance
To determine how your current usage compared with your monthly SMS/MMS messaging allowance, multiply the total number of applicable 8x8 licenses on your service by 50.
Example: 20 applicable licenses (such as X2 and higher) x 50 = a messaging segment count allowance of 1000.
- If your calculated Message Segment Count is less than or equal to your total messaging allowance, you will not yet have incurred any overage charges.
- If your calculated Message Segment Count is more than your total messaging allowance, overage charges apply to the message segment count in excess of your messaging allowance.
Which 8x8 licenses does this apply to?
All 8x8 UC licenses that include SMS/MMS capabilities are affected. You can find a complete list of these licenses here.
Important: SMS is supported in the US & Canada for users with X1 licenses or higher. However:
- X1 licenses support SMS with a metered-per-message billing model.
- X1 licenses also do not add to the message allowance pool created by the presence of X2 and higher licenses on the same account. However, sent X1-licensed messages will be deducted from a pooled allowance (if one exists) before metered charges are applied.
Does this apply only to US and Canadian customers?
Yes, this applies to US and CA accounts, as well as to users provisioned in the US and Canada by customers located in other geographic areas/countries.
For example, allowance and overage rates will apply to a UK customer whose users are provisioned in the US or Canada.
Does 8x8 charge for inbound messages?
There is no charge for inbound SMS/MMS messages to your assigned users.
How is this different from the SMS 10DLC campaign registration fees?
Although SMS-related, these different charges are separate from each other:
- Registering to use SMS/MMS: SMS 10DLC campaign registration and associated fees is an industry-wide initial setup requirement for business SMS/MMS use. This is an effect of U.S. wireless carriers imposing changes to combat spam and improve the delivery of legitimate text messages.
- Using SMS/MMS: The SMS billing changes described in this article reflect actual SMS/MMS usage.
Are there other SMS-related products offered by 8x8?
As part of our efforts to expand our SMS/MMS offerings, we've introduced Proactive Outreach, which helps transition customer service from a reactive to a one-to-many messaging model for all business use cases. To learn more about Proactive Outreach, review the product information page.
What if I need to send messages in bulk?
The 8x8 UCaaS service is not intended for mass/bulk messaging. Instead, 8x8 offers other solutions, such as Proactive Outreach, to address business needs for one-to-many messaging. For more information, please read about Proactive Outreach here.
Comparing Usage vs Allowance
Allowance Formula:
Applicable licenses × 50
Applicable licenses × 50
Outcome:
- If usage ≤ allowance → no overage charges
- If usage > allowance → charges apply to excess segments only
License Applicability
Included Licenses
- All 8x8 UC licenses that support SMS/MMS
Special Case: X1 Licenses
- X1 licenses use per-message metered billing
- X1 licenses:
- Do not increase the allowance pool
- Will consume pooled allowance (if present) before metered charges apply
Geographic Scope
This policy applies to:
- US and Canadian customers
- Users provisioned in the US or Canada
- Customers located outside the US/CA with US/CA-provisioned users
Inbound Messaging
- Inbound SMS/MMS messages are free
- Inbound traffic does not count toward the allowance
SMS Usage vs 10DLC Registration Fees
These are separate:
SMS 10DLC Registration
- One-time and recurring campaign registration fees
- Required by carriers for business messaging
- Focused on spam prevention and message delivery
SMS/MMS Usage Charges
- Based on actual outbound message usage
- Covered by this usage-based billing model
Bulk and Mass Messaging
UCaaS SMS Limitations
- 8x8 UCaaS is not designed for bulk or mass messaging
Recommended Solution
- Proactive Outreach
- One-to-many messaging
- Designed for campaigns and large-scale outreach
- Better suited for bulk messaging use cases
Learn more on the Proactive Outreach product page.
Related Resources
- UC SMS/MMS Rates
- Viewing and Downloading 8x8 Billing Statements
- Proactive Outreach Product Information