The only problem that I have encountered when assigning different alerts for SMS contacts is that when the phone is on vibrate, the phone still rings.
In my case, I have all my contacts with the default SMS alert, I have my ESPN contact with a SportCenter alert. If I have my phone on vibrate, the ESPN alert rings instead of vibrating. Where as if I get a SMS from my other contacts, the phone vibrates. It's an annoying bug but hopefully it'll get fixed in a future update.
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