Evolution of the PayPal API Platform: Enabling the future of Money WooCommerce Conference 2014 San Francisco

1. Evolution of the PayPal API Platform
Enabling the future of Money
WooCommerce Conference 2014
Deepak Nadig, Head of API Platform Engineering

2. PAST, PRESENT & FUTURE OF PAYMENTS
Video also at https://www.youtube.com/watch?v=C4CKhCOQ7c0

3. BASIC NEEDS FROM PAYMENTS
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• Payments need to scale across distances
• Payments across currencies should be seamless
• Payments need to be quick; ideally instantaneous
• Payments need to be secure
• Cost of payments should be low

4. USE PAYPAL ONLINE
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WEB CHECKOUT
MOBILE CHECKOUT
PAYPAL ONE TOUCH

5. CHECK-IN TO PAY ON POS
OFFLINE & ONLINE CONVERGING
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SIMPLER AUTHENTICATION
WALLET IN THE CLOUD

6. ACCEPT PAYMENTS ANYWHERE
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PAYPAL HERE
ACCEPT NEAR THE CONSUMER
RECEIPTS IN THE CLOUD

7. FRICTIONLESS PAYMENTS WITH BEACON
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8. WEARABLES AND FINGERPRINTS
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BUILT-IN PAYMENTS
FIDO

9. BRIDGING THE PHYSICAL WORLD
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PHYSICAL  DIGITAL
WITHDRAWALS & DEPOSITS

10. PEER TO PEER PAYMENTS
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WHERE PAYPAL STARTED
SEND AND REQUEST MONEY
SOCIAL INTERACTIONS
ADHOC PAYMENTS

11. ACCESS TO PAYMENTS ANYWHERE
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ARDUINO/TEMBOO
API AGGREGATORS
INTERNET OF THINGS

12. EVOLUTION OF EXTERNAL API PLATFORM
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PayPal API
PayPal Capabilities
2001 Instant Payment Notification
2004 Transaction, Mass Pay API
2005 Direct Payment API, Express Checkout
2007 Payment APIs (NVP)
2009 Adaptive APIs (SOAP/XML, NV, JSON)
2013 Payment APIs (REST)

13. WHAT GOT US HERE WON’T TAKE US THERE
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Mobile Local
Social
Digital
Time
Performance
Limits
reached
High
growth
Kickoff

14. API PLATFORM – 2012 TO TARGET STATE
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API Definition Internal or External Universal
API Discovery Difficult Developer Portal
API Design Project specific API as a Product
Architecture Tightly coupled SOA Loosely coupled SOA
Technology Proprietary Standards based
Integration Expensive TTFHW1 < x min
(1) Time to First Hello World – Time to make a simple call/application

15. API PLATFORM QUALITIES
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API First
API as a Product
• Work back from the use cases
• API Design
• API portfolio
• Aligned by capabilities
Developer Experience
• Easy to learn, integrate, diagnose
• Time To First Hello World
API Quality Attributes
• Response-time
• Availability
Service Architecture
• Encapsulated, Isolated
• Craftsmanship

16. THE NEW API PLATFORM HAS BEEN A SUCCESS
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Customer Application: eBay PayPal Web Web Page
Application
APIs: /v1/apis/applications
Mobile Application
Third-party Web Application
Mobile Application (based on mSDK)
Touch
Samsung Wallet (Samsung Galaxy S5, Gear 2, Gear Fit)
oauth2/token, tokens, /v1//v1/payments/vault/wallet/{wallet/payments/payments
token
user-activities
payment
payment
id}/financial-instruments

17. PAYPAL CONTEXT
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– 157 million active digital wallets
– 203 markets in 100 currencies
– 2M+ developers
– 2013: Total Payment Volume was $180 billion
– Q3 2014
– Total Payment Volume of $56.6 Billion, $7118 TPV / second
– $12 Billion mobile
– Growing 29% YoY
– 895 million transactions, 9.7 million payments / day
– 2014: >1 Billion Mobile Transactions in 2014
– 25% cross border
In a dynamic environment
– 300+ features per quarter
– We roll 100,000+ lines of code every two weeks

18. TO CLOSE
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• History of payments is as old as human history
• Payment needs are the same, though technologies have evolved
• PayPal has been enabling simple and secure payments
• The API platform has evolved to support these products …
• As well as what the future of money needs!

19. Thank you
@deepak_nadig
© 2014 PayPal Inc. All rights reserved. Confidential and proprietary.
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