Many of you have probably heard the term “open APIs” and wonder what all the fuss is about. In simplified terms, open APIs represent the next logical step in the intersection and convergence of several industry trends: the search for new business models for the internet economy; the explosion of personal mobile devices (always connected, always on); and the continuing evolution of the mash-up application style (rapid app development).
The possibility for creating new revenue streams and extending brand reach, through the use of public APIs, is capturing the attention of business leaders in every industry. What’s really unique about public APIs is that, in spite of the geeky sounding name, it’s not an IT-led initiative. These are business-led initiatives designed to create new market opportunities.
The drivers for the API economy are fairly different from what we’ve traditionally seen for the enterprise. The rapid growth of mobile devices and social media has created limitless opportunities to generate personalized connections between businesses and consumers in a targeted way that has not previously existed. Because of this, many of today’s public APIs are delivering content to cell phones and tablets.
Innovation Through Open API
Developers who incorporate functionality into their applications, using public APIs wherever possible, will have a significant time-to-money advantage over traditional application developers. From the API provider’s point of view, allowing external developers to use your public API can jumpstart innovation of your IP in ways that would never have been possible through smaller-scale, traditional R&D practices.
What’s your point of view? Is this a trend that’s on your company’s radar? Tell us what you think!
For more information on our current solution in this space, explore API Exchange.