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Open APIs: State of the Market John Musser, ProgrammableWeb @johnmusser Cloudstock, December 6 th , 2010

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Introduction <ul><li>ProgrammableWeb.com </li></ul><ul><li>API & mashup directory </li></ul><ul><li>News, community, dev tools </li></ul><ul><li>2,400 Web APIs </li></ul><ul><li>5,300 mashups </li></ul>

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Open APIs: State of the Market <ul><li>The big picture </li></ul><ul><li>The business of open APIs </li></ul><ul><li>Design and technology </li></ul><ul><li>Trends </li></ul>

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Open APIs: Why bother? <ul><li>Make money </li></ul><ul><ul><li>60% of all listings on eBay.com added via their APIs </li></ul></ul><ul><li>Save money </li></ul><ul><ul><li>SmugMug saves > $500K/year with Amazon S3 Storage </li></ul></ul><ul><li>Build brand </li></ul><ul><ul><li>Google Maps 300% growth vs 20% MapQuest </li></ul></ul><ul><li>Move to the cloud </li></ul><ul><ul><li>Over 50% of all transactions via their API </li></ul></ul><ul><li>Go anywhere </li></ul><ul><ul><li>Netflix now available on over 200 devices </li></ul></ul>

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Open API timeline 2000 2002 2005 2006 2007 105 APIs 352 APIs 2003 2008 1,116 APIs 601 APIs <ul><li>It took 8 years to get to 1,000 APIs, but only 18 months to get to 2,000 APIs </li></ul><ul><li>2010 has a 2x increase in new APIs per month over last year </li></ul>2009 1,628 APIs 2010 ? APIs

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APIs: Some very competitive markets Based on directory of 2,300 web APIs listed at ProgrammableWeb, November 2010

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Open APIs: Sampling growth by sector

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Open APIs: Sampling growth by sector YouTube sells for $1.7B

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Open APIs: Sampling growth by sector Facebook opens platform

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Open APIs: State of the Market <ul><li>The big picture </li></ul><ul><li>The business of open APIs </li></ul><ul><li>Design and technology </li></ul><ul><li>Trends </li></ul>

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What makes an open API successful? <ul><li>The underlying service </li></ul><ul><ul><ul><li>Or, a good API on a bad service is lipstick on a pig </li></ul></ul></ul><ul><li>A plan and a business model </li></ul><ul><li>Simple, open, easily adopted </li></ul><ul><li>Providing choices </li></ul><ul><li>Good developer support </li></ul>

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API business models Best practice: Bake your business model into your API Who What How Amazon Associates Retail Affiliate Model Amazon S3 Infrastructure Pay-as-you-go eBay Auctions APIs for listings Exact Target Bulk Email Tiered pricing Rhapsody Music Partnerships Salesforce.com CRM / SFA SaaS per-seat licenses

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APIs as biz-dev enabler (aka Bizdev 2.0) “ Decentralized business development” -Toni Schneider Consumer/Hacker Business/Partner Flickr API

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API Billionaires Club 5 billion API calls / day (April 2010) 1.1 billion API-delivered stories / month (March 2010) 5 billion API calls / day (October 2009) 8 billion API calls / month (Q3 2009) 3 billion API calls / month (March 2009) 3 billion API calls / day, 75% of all traffic (April 2010) Over 50% of all traffic via API (March 2008) Over 100 billion objects stored in S3 (March 2010)

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Open APIs: State of the Market <ul><li>The big picture </li></ul><ul><li>The business of open APIs </li></ul><ul><li>Design and technology </li></ul><ul><li>Trends </li></ul>

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The big technical debates <ul><li>Protocols and styles </li></ul><ul><ul><ul><li>REST vs. SOAP vs. … </li></ul></ul></ul><ul><li>Data formats </li></ul><ul><ul><ul><li>XML vs. JSON vs. … </li></ul></ul></ul><ul><li>Standards </li></ul><ul><ul><ul><li>So many to choose from… </li></ul></ul></ul>

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REST vs. SOAP: Simplicity wins again Distribution of API protocols and styles Based on directory of 2,300 web APIs listed at ProgrammableWeb, November 2010

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REST vs. SOAP, more of both, but a lot more REST Total number of APIs based on protocol and style Based on directory of 2,300 web APIs listed at ProgrammableWeb, November 2010

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Data formats: lots of choices XML, JSON, RSS, Atom, YAML, iCalendar, CSV, Serialized PHP, HTML, PNG, GeoRSS, vCard, Text, RDF, OPML, MediaRSS, VML, TV-Anytime, hCalendar, FOAF, XSPF, SQL, GML, CDF

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JSON Rising: 45% of all new APIs support JSON Percentage of new APIs with JSON support 197 APIs are now JSON-only, including Facebook Graph, Etsy, and Twitter’s Streaming API Based on directory of 2,300 web APIs listed at ProgrammableWeb, November 2010

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OAuth picking up steam 20% of all “Social” APIs now with OAuth support 120+ APIs with OAuth support

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Open APIs: State of the Market <ul><li>The big picture </li></ul><ul><li>The business of open APIs </li></ul><ul><li>Design and technology </li></ul><ul><li>Trends </li></ul>

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APIs growing up: versioning & other best practices Old Twitter http://twitter.com/users/show/noradio.xml New Twitter http://api.twitter.com/1/users/show/noradio.xml

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APIs growing up: keeping developers informed

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APIs growing up: keeping developers informed http://www.programmableweb.com/api/ebay/status

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API monitoring: don’t let this happen to you via http://monitor.programmableweb.com …

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APIs are the glue of SaaS Internal Apps & Systems Customize Integrate API Internal App: web/desktop Traditional Platform Customize Integrate API SaaS App SaaS Service Firewall

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SLAs and Premium Support for APIs <ul><li>Service Level Agreements and Premium Support </li></ul><ul><ul><ul><li>Google Maps Premier (starts at $10K/yr) </li></ul></ul></ul><ul><ul><ul><li>Amazon’s new Premium Support packages </li></ul></ul></ul>

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1 API can support 100’s of devices Source: Michael Hart, Netflix

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Mobile explosion is driving API explosion Source: NPR Pageview growth: NPR.org vs NPR mobile

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API as Product When an API is not an extension of your product, but it is your product

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Invisible Mashups, part 1 Classic mashup HousingMaps.com Invisible mashup Ooyala.com EC2 + S3 + SQS +

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Invisible Mashups, part 2 + APIs are hiding in plain sight, if you know where to look

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Have we seen this before? 1995 Why do we need a Web site? 2000 2005 2010 Of course we have a Web site Of course we have an API Why do we need an API?

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thank you Questions, ideas, comments? Email me: john@programmableweb.com Twitter: @programmableweb @johnmusser