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The Business of APIs 2009 - ProgrammableWeb.com
 

The Business of APIs 2009 - ProgrammableWeb.com

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What can be done with an API is limited only by imagination. However, what should be done using your API may have a more definable answer. Whether you are planning to leverage your API to extend ...

What can be done with an API is limited only by imagination. However, what should be done using your API may have a more definable answer. Whether you are planning to leverage your API to extend your business model into new channels or to capture new revenue, it is The Business of APIs.

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    The Business of APIs 2009 - ProgrammableWeb.com The Business of APIs 2009 - ProgrammableWeb.com Presentation Transcript

    • Open  APIs:  State  of  the  Market   John  Musser,  ProgrammableWeb   Business  of  APIs  Conference,  Nov  16th,  2009  
    • Introduc7on   ProgrammableWeb.com   •  Launched  summer  2005   •  API  directory,  news,   community,  reference   •  1,500+  Web  APIs    
    • Open  APIs:  State  of  the  Market   •  Why  do  we  care?   •  Where  is  the  growth?   •  How  are  they  moneDzing?   •  What  makes  a  winning  API?  
    • Open  APIs:  Why  Bother?   •  Make  money     60%  of  all  lisDngs  on  eBay.com  added  via  their  APIs     6  billion  API  calls  per  month   •  Save  money     SmugMug  saves  >  $500K/year  with  Amazon  S3  Storage   •  Build  brand     Google  Maps  300%  growth  vs  20%  MapQuest   •  Move  to  the  cloud     Over  50%  of  all  transacDons  via  their  API   •  Disrupt  markets     10,000  applicaDons  in  6  months     Today  nearly  every  social  network  has  an  API   4  
    • APIs  hiding  in  plain  sight,  if  you  know  where  to  look   + + 5  
    • APIs  moving  to  the  cloud   Old Model New Model •  APIs are now in the cloud •  Open, global •  New business opportunities PrintFile UpdateRow DrawMap FindProduct ConvertLead 6  
    • Open  API  7meline   Over 1,000 new APIs in 2008 & 2009 Double the total of prior 7 years combined 2000 2002 2003 2005 2006 2007 2008 2009 Facilitating Extending the Enterprise 105 APIs 352 APIs 601 APIs 1,116 APIs ? APIs Power Affiliate SaaS Listed at PW Listed at PW Listed at PW Listed at Sellers Network Platform PW 7  
    • APIs:  Some  very  compe77ve  markets   Number of APIs in each of the top 15 categories Based on directory of web APIs listed at ProgrammableWeb, November 2009 8  
    • Open  APIs:  Sampling  growth  by  sector   9  
    • Open  APIs:  Sampling  growth  by  sector   YouTube sells for $1.7B 10  
    • Open  APIs:  Sampling  growth  by  sector   Facebook opens platform 11  
    • Business  focused  segments  seeing  rapid  growth   Information Services SaaS for Enterprise & SMB Platform as a Service 12  
    • API  business  models   Who   What   How   Amazon  eCommerce   Retail   Affiliate  Model   Amazon  S3   Infrastructure   Pay-­‐as-­‐you-­‐go   eBay   AucDons   APIs  for  lisDngs   Salesforce.com   SaaS  CRM   Seat  licensing   Exact  Target   Bulk  Email   Tiered  pricing   Facebook   Social  Network   Pixel  sharing   Cypress  Golf   ASP  Tee  Times   IntegraDon     Rhapsody   Music   Strategic  partnerships   Best practice: Bake your business model into your API
    • APIs  as  a  biz-­‐dev  enabler   “Decentralized  business  development”   -Toni Schneider An  API  can  lower  barriers  to  working  with  you   Flickr API Consumer/Hacker Business/Partner
    • What  makes  an  open  API  successful?   •  Rule  #1,  the  underlying  service   •  Or,  a  good  API  on  a  bad  service  is  lipsDck  on  a  pig   •  A  plan  and  a  business  model   •  Simple,  open,  easily  adopted   •  Providing  choices   •  Good  developer  support  
    • Where  are  we  headed?   •  APIs  opening  new  business  &  revenue  models   •  New  ecosystems  of  tool  &  service  providers   •  APIs  becoming  more  sophisDcated  &  ubiquitous  
    • Have  we  seen  this  before?   Why  do  we  need   Of  course  we   Why  do  we   Of  course  we   a  Web  site?   have  a  Web  site   need  an  API?   have  an  API   1995 2000 2005 2010 17  
    • thank  you   QuesDons,  ideas,  comments?     Email  me:  john@programmableweb.com   18