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I have an enfora modem connected to a serial port on my server machine running ubuntu. Basically, it is a gsm modem that can communicate through a gsm network to talk to gps devices which also have gsm modem. It accepts at commands which allows it to take messages from the gps devices and process them as sms messages to be sent to cellular phones. If the modem handles this responsibility, then what is the purpose of a sms server, such as GAMMU for ubuntu? What does something like gammu-smsd do that the modem cannot do?

I found this in the documentation:

"gammu-smsd is a program that periodically scans GSM modem for received messages, stores them in defined storage and also sends messages enqueued in this storage. The daemon can reload configuration file after sending hangup signal (SIGHUP) and properly terminates itself on SIGINT and SIGTERM."

But isn't it the modem that is actually sending the sms messages?

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Maybe the server provides an interface for authentication, access limits, and other administrative functions? –  NickW Jun 11 '13 at 16:31
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JohnMerlino, you've pretty accurately described what is modem doing and what is software doing: Modem accepts AT commands, software sends AT commands. You can use modem without software and type commands directly from shell, but it is not very comfortable way of using it. –  dusan.bajic Jun 11 '13 at 16:40
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