This document discusses APIs and how they allow different devices and applications to communicate and share data. It defines APIs as exposing business capabilities over the internet through web services and describes how APIs allow applications to interact using rules and interaction mechanisms. The document then covers two main ways for applications to access web services: SOAP, which uses XML messaging, and REST, which uses HTTP and JSON. It provides examples of APIs for websites and applications. It also discusses benefits of APIs, why they are needed, authentication methods, and how to create APIs in Magento 1 and Magento 2.