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Till now iPhone 3G users were able to send free SMS messages using the Infinite SMS app via the Gmail. This made the Infinite SMS app in top 10 app list as many people downloaded this for 0.99 cent. But the App usage did give trouble to Gmail through multiple users and increased costs. So the Google decided not to allow this third party App to use their services as they are paying for the SMS messages.
This made many people with out the free SMS facility and there will be no refund for the download too. If tried to use this App the users will get an error message.
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