API Economy

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Manage APIs as the core asset that makes both the internal organization and the outside world fully benefit from your application services – and vice versa

Manage APIs as the core asset that makes both the internal organization and the outside world fully benefit from your application services – and vice versa

May the best API win. Unleash the power of your applications portfolio through easy-to-use, standardized interfaces to application services. This will allow both the business and IT sides to quickly build flexible solutions that feel like their own, even if they are not. And by exposing your carefully managed API catalog to the outside world, it doesn’t just open up your business in new ways to customers and partners, it might also give way to a platform for innovative ideas and solutions that you never envisioned yourself. Come to think of it, you may want to intimately know and use the APIs of others as well. Your digital breakthrough may be just one API away.

What

  • An application programming interface (API) provides standardized, open accessto an application service or data set, decoupled from the actual user interface of the application.
  • Successful API subjects are dependent to fully understanding the consumers, the use cases and the load.
  • APIs provide the building blocks for developers to compose and enrich their application, leveraging data from multiple sources. As more and more companies open their data sources using APIs, the need to build bespoke services is reduced.
  • APIs can be managed as a product through API management platforms, incorporating scalability, quality, and monitoring of actual use.
  • APIs can be built on top of existing applications in order to provide more flexible access; new applications typically come by default with a set of accompanying APIs.

Use

  • To maintain their competitiveness in the market, fast food companies plug into the rapidly-growing delivery services, such as GrubhubDeliverooand Uber Eats.
  • The New Zealand Postprovides a special developer resource center that enables its customers and partners to implement digital solutions by integrating their applications with the New Zealand Post’s APIs.
  • To change the traveling habits of Dutch commuters, the Dutch railroadexposed their ticket services to other companies, such as lease companies and tour operators, enabling them to enrich their tickets with insurance and travel advice offerings.
  • Liberty Mutual recently launched a developers’ portal called SolariaLabs, to create driving apps using the company’s proprietary insurance data, as well as public data on auto theft, parking citations and crashes, to provide customers with recommendations on the safest driving routes and places to park in major US cities. (Capgemini Research Institute)
  • Google changed is price policy for using the Google Map APIs. Developers now have to pay for usage of these APIs, turning their unique map information into a cash cow.

Impact

  • Simplification of the application portfolio, as well as better and more flexible access to existing and new application services for both business and IT.
  • Monetizing and enriching application services through the publication of APIs to customers, partners, and external developers.
  • Leveraging external API catalogs for ready-to-use application functionality, AI capabilities and very specific IT services.

 Tech

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