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George Mason has an alert system that you can sign up for that our news source has a channel on, among many other channels.
We didn't have a good reaction, because it was difficult for users to unsubscribe to that service. Perhaps Tatango will prove a better option.
We've also tried to set up an SMS "listserv" type system, using a now defunct site, to help cover breaking news within the office, but no one was interested.
What do you think about promoting a Twitter account as a SMS service? Do you think the option to sign up is too complex or that being off-site creates a disconnect?
You also bring up a good point about unsubscribing-- I use the WP plugin and I'm fairly certain the unsubscribe option isn't clear either. I'll have to look into it.
Oh, and added your links to the CoPress Wiki.