Progress in the API Economy - April 2014


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Presentation on the progress of the API Economy given at the API Meetup in Seoul Korea 8th April, 2014, Organized by

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Progress in the API Economy - April 2014

  1. 1. Progress in the API Economy Steven Willmott 3scale Inc. @njyx, @3scale
  2. 2. 3scale is… API Infrastructure Provider ! Power 350+ APIs ! 110,000 Developers writing Apps ! API Tech Operations API Business Operations Developer Support (Selection)
  3. 3. Also Check Out… New service for developers ! Track Transform Analyze API Traffic !
  4. 4. API State of the Ecosystem Decks See John Musser for definitive updates: State-of-the-Market apishotnotgluecon2012
  5. 5. Topics Numbers Three Drivers of Adoption What people are doing and why Where are we going with the API Economy? Technology Conclusions
  6. 6. What do you mean API? & API Economy
  7. 7. Definitions API: “An interface to a software component that can be invoked at a distance over a communications network using standards based technologies.” API Economy: “The emerging economic effects enabled by companies, governments, non-profits and individuals using APIs to provide direct programmable access to their systems and processes. ”
  8. 8. Proceed with Caution :)
  9. 9. Numbers Programmable Web grew 20-30% YoY - less than before Directories cannot keep up easily Many APIs are private / semi private 10x (or maybe many more) are out there 11254 (Public) APIs 10x that many Private APIs?
  10. 10. Numbers: Mobile Apps 1 Million IOS Apps (Oct 2013) 1.19 Million Android Apps (Now / AppBrain) How Many are Calling an API Backend? 10%? 5%? 20%
  11. 11. Example: Evernote Platform Evernote “feels” like an App But it is a platform Many successful Apps are
  12. 12. Three Drivers of API Adoption Mobile HTML5 B2B Integration
  13. 13. Mobile Network Backends for Apps Multi-Platform Hardware (e.g. multi- channel retail, TVs, gadgets) Mobile
  14. 14. Business Integration SOA often 1-1, This is 1-n Replacing SOAP and In-house custom Supplier / Provider / Customer Integrations B2B Integration
  15. 15. HTML5 & Single Page Apps Bridging Mobile and Web development together Single Page Apps are new to the game HTML5 Improvements to Hypermedia Controls Speeded up development time Offline Cache
  16. 16. Examples
  17. 17. What People Are Doing with APIs and Why… Mobile Backend Customer Ecosystem Partner Ecosystem API As a Business Internal Innovation Content Distribution Transaction Distribution
  18. 18. Mobile Backend Support OS’s: IOS, Android, Windows, Blackberry, HTML5 Auto generated (e.g. Parse, Kinvey) Often Naked & Security by Obscurity Business Driver: enables mobile Mobile Backend
  19. 19. Customer Ecosystem e.g. Salesforce, Box, Dropbox Customer gets primary value - boosts product value Business Driver: drives up- sell & loyalty Customer Ecosystem
  20. 20. Partner Ecosystem e.g. Evernote, Twitter, Amazon AWS Partners add reach and functionality Business Driver: improves product reach and richness Partner Ecosystem
  21. 21. Content Distribution e.g. EPSN, BBC, IGN, Pearson, Xignite, Factual API Clients are channel partners for content syndication & delivery Business Driver: syndication fees, reach, user convenience Content Distribution
  22. 22. Transaction Distribution e.g. Walgreens, Target, eBay, Expedia, Amazon… APIs enable Business Transactions on Company Core business model Business Drier: drive transactions Transaction Distribution
  23. 23. API As a Business e.g. Twilio, Paypal, Stripe, Sendgrid… API is essentially the core business of the company, call the API and activate a function Business Driver: sell access to API Transactions API As a Business
  24. 24. Internal Innovation e.g. Construction companies, retail, banks, … Rewire internal data pathways, empower developers Business Drier: make the company more agile Internal Innovation
  25. 25. Organization API Cycle
  26. 26. New Audience Market Acceleration New Building Blocks API 
 Consumers The API Economy Cycle Individual APIs API 
  27. 27. Technology
  28. 28. • API Design • Access Control • Rate Limits • Security • Scaling • Documentation • Lifecycle • Versioning Technology Individual ! ! Challenges Vendors Vendors & Open Source Cover Most of the Stack
  29. 29. • Many APIs & Apps - little cohesion • Competing Technology • Competing Design Partners • Directories by no Search • Tight v’s Loose binding • Real time joining the Mix • Ecosystem Instability from some players • Copyright • API Apocalyse of Client code to be written Technology Collective • REST / SOAP / Hypermedia - Twitter, WS-REST, API-Craft • General Best Practice: http:// • oAuth: IETF • openID Connect: connect/ • Copyright and Service Descriptions: Challenges Conversations Vendors & Open Source Still Very Early
  30. 30. Conclusions
  31. 31. Very Exciting Times! 100’s new API Requests / Month (3scale) Technology Solidifying Convergence between Internal and External Use-Cases Tools Getting Better Starting to Look at Ecosystem Problems More Smart People Involved
  32. 32. You can make a difference! Technology is not static APIs are early & experimental Apps are evolving all the time Best practice is shifting (* Photo Credit Alfred Leete)
  33. 33. Get More Informed APICodex: API Academy: Apigee API Resources: apigee
  34. 34. 3scale: APItools: APICodex:
  35. 35. The API Economy is Emerging… Join In! Contact: @njyx -