This is really a function of the Service Provider that you are working with and their policy on this. You are correct in that this is configurable via the GGSN. I have seen it both ways. On one hand you have this real time flexibility to communicate between mobile devices, on the other hand I have seen it blocked to prevent malicious behavior between mobile devices.
There are definitely times when you would use it either way. In a model where you have different customer entities using the same service, you'd obviously want to block the direct MO-MT data path. You also have the option of routing the traffic back via your network and applying any rules you like about the allowed destinations, so you could let some terminals talk to each other in that way. The majority of M2M solutions I have seen are generally more client/server models rather than peer-to-peer though.
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