Developer Competition Is Heating Up


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Competition in the valley and in the developer landscape as a whole is heating up. How is this going to affect us?

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Developer Competition Is Heating Up

  1. 1. Developer Competition Is Heating Up What that means for us The Lob Team @Lob
  2. 2. More APIs From More Companies
  3. 3. With the continued huge success and growth of API companies such as Twilio and Stripe amongst others... …we will see many more startups built upon an API foundation going forward.
  4. 4. Competition from industry incumbents is on its way. “In 5 years, 85% of large companies will have API programs.” As the non-API industry giants see market share being eaten away by disruptive API companies, they will recognize the need to invest more in developers to build their own APIs to stay competitive going forward.
  5. 5. The Amazons and Googles of the world are watching closely. Companies such as Amazon will continue to monitor the API landscape to see what is gaining traction so they can either 1) Enter the market, making it all the more difficult for new startups to succeed, or 2) Make strategic acquisitions.
  6. 6. Hackathons Becoming Mainstream
  7. 7. The term “hackathon” will continue to proliferate around the world. Soon every university, high school, and tech company will be hosting their own white-labeled hackathons.
  8. 8. Hackathons or code-a-thons were started with the goal of bringing together motivated and talented minds together to build awesome and useful things… …but with bigger sponsors, bigger prizes, and more headhunting, the hackathon model is shifting from a focus on innovation to a focus on money, business, and recruiting.
  9. 9. Nevertheless, hackathons are an important staple of the developer community. Tech companies and startups should empower developers with the tools necessary to build and innovate. In 2014, we will see at least one startup whale emerge out of a weekend hack.
  10. 10. 2013 proved to be a huge year for the open-source community and we fully expect the momentum to continue going forward. Github Repositories Open-source will become even more prevalent in 2014 as developers band together to work on important projects related to government, healthcare, privacy, and other issues that will be spotlighted.
  11. 11. What does this mean for us?
  12. 12. 1. As API’s become more mainstream it will be tougher to stay competitive. We will have to continue to make our products more accessible and easier to use. With more and more options emerging at a rapid pace, companies need to make sure they stay innovative.
  13. 13. 2. Hackathons are getting more corporate and its going to get tougher and more expensive to vie for developer attention. From a developer perspective, although there will be more opportunities available, every single event will be that much more competitive. It will be difficult to stand out amongst the masses.
  14. 14. 3. With more code to be open-sourced, ideas and software will become much easier to create making proprietary knowledge more scarce. While the community in large will benefit, it will be harder to create novel ideas as the probability of replication increases. Companies will have to find new ways to differentiate from each-other in addition to differentiating on the product. Startups are going to have to focus on customer support and user experience or else they will be left in the dust.
  15. 15. Questions or Thoughts? Tweet @Lob