APIs are a path to new business opportunities
Business models
are evolving
Branch Toll-free Website Web APIs
and growth is accelerating dramatically
APIs represent a new,
fast-growing channel
opportunity
By End of 2014, 75% of
the Fortune 1000 will
offer public Web APIs
By 2016, 50% of B2B
collaboration will take
place through Web APIs
Sources: Gartner, Predicts 2012: Application Development, 4Q, 2011; Gartner, Govern Your Services and Manage Your APIs with
Application Services Governance, 4Q 2012; Gartner, Open for Business: Learn to Profit by Open Data, 1Q 2012
Examples across Industries
• Quote interest rate and Loan application
• Checking room availability and reservation
• Looking up an item at a store location and purchase
@2014 IBM Corporation |
Public versus Partner versus Internal
3
Public,
Open-To-All
APIs
Protected,
Open-To-Partner
APIs
Private,
Internal
APIs
• APIs are open to any developer
who wants to sign up
• Apps are more targeted towards
end consumers
• The business driver is fostering
external innovation, and quickly
enter new customer facing
ecosystems (Gaming, connected
cars, Google glasses,…) or tools
(IFTTT, wordpress,…)
• APIs are open to select business
partners
• Apps could be targeted at end
consumers or business users
• The business driver is often linked
to the ability to automate
processes, exchange data, and
accelerate partner on-boarding
• APIs are exposed only to existing
developers within the enterprise
• Apps are usually targeted at
employees of the enterprise
• The business driver can be
channel consistency, productivity
through re-use, and internal
innovation
For Free
Drives Adoptions of
APIs
Typically low valued
assets
Drive brand loyalty
Enter new channels
Example:
Facebook Login API
provides free
authentication for
any Web / mobile
app
Developer Pays
Business Asset must be of
high value to the Developer
For example, marketing
analytics, news,
Capabilities such as credit
checks
Example:
Amazon EC2 Web
Services – APIs charge
per usage to launch
and manage virtual
servers.
Developer Gets Paid
Provides incentive for
developer to leverage web
API
Ad placements
Percentage of revenue
sold product or services
Example:
Google AdSense
APIs pay developers
who include
advertising content
into apps
Indirect
Use of API achieves same
goal that drives business
model.
Increase awareness of
specific content, or
offerings
Example:
eBay Trading APIs
offer developers
access to trading
services extending the
reach of listings and
transactions
The Business of APIs – Who pays?
Large Airline in North America provides authorized access to
flight services
Business Challenge
Business Challenge
External business partners retrieve flight information by scraping the
company’s website
Unauthorized access to full flight information , with no usage analytics
Delays in updating website – difficult for authorized partner to test changes
REST-based API had just been built but security was not in place
Solution
IBM API Management & DataPower
Business Value
Easily and securely connect company Website to new APIs, saving cost of
building OAuth based secure access
Enable secure exposure of APIs to External Business Partners, saving the
implementation cost of building a developer support infrastructure with
access management
Ability to leverage existing investment in IBM DataPower gateway and internal
team skillset
Enable secure Mobile app integration with Enterprise APIs
Leading European Auto Manufacturer provides innovative
vehicle connectivity with IBM API Management
Business Challenge
Offer innovative connectivity services to customers, improve the
driver experience, improve safety, and create new revenue
sources
Improve driving conditions with driver profiling, eco-driving,
fleet management, reduce accident risk
Collect data to monetize them for partners
Solution
IBM API Management, DataPower, MessageSight, Decision Mgmt
Business Value
“Always connected” low-latency reliable communications with
the car systems/apps and customer mobile apps
Vehicle data APIs published on secure developer portal
Internal & external developers use vehicle data to develop
mobile applications
Drives innovation for Mobile application development
Leading Retailer in North America provides easy & secure access
to retail services
BBuussinineessss CChhaalllleennggee
Difficult for internal partners and developers to discover
& access key retail services
Leverage mobility as a revenue stream and manage
internal and external business partners
No visibility on Service consumption or ability to
chargeback for LoB use of Services
Solution
IBM API Management & DataPower
Business Value
Offers 3rd party merchants secure standards-based access
to key business services as APIs, with a self-service
experience
Provides an internal ecosystem for partners and a central
repository with usage analytics
Drives innovation for Mobile application development
API Success Requires Addressing Needs of
Multiple Stakeholders
API Developer
• How do I assemble APIs?
• How do I manage security?
• Will the infrastructure scale?
• How do I measure performance?
App Developer
• Where do I access APIs?
• How do I understand the
APIs?
• How do I measure
success?
API Product Manager
• How can I rapidly release & update my APIs?
• How do I publicize my API?
• How do I measure success?
Operations Lead
•How do I manage all the API
Environments that are being
requested?
•How can I scale each
environment?
•How can I easily find and fix
issues?
Join the API Economy
IBM API Management, for on-premise
Assemble business APIs easily
Provide Secure or Open APIs
Control APIs at a fine-grained level
Analyze API usage
Manage private, partner, public app developers
Provide self-service app developer onboarding
What’s new in IBM API Management , for on-premise
Single console to manage REST & SOAP services and publish to various app
developer communities
Role-based access control and simple deployment architecture
OAuth 2.0 support for secure APIs and web service discovery from WSRR
Policy-driven API control & visibility across various environments
Out of the box Developer Portal customization & Multiple Gateway Clusters
Manage your APIs in the Cloud
IBM API Management Service (SaaS)
Similar capabilities of on-prem offered as SaaS
Self-service, Try & Buy, credit card payment
Monthly billing, Monthly/annual subscription
Pricing based on number of API calls &
developer accounts, and optional logging of
API payload
Assisted selling for large customers & volume
buyers
Hosted on IBM SoftLayer Cloud
Available September 26 !!!!
30 Day Free Trial
https://apps.admin.ibmcloud.com/manage/trial/apim.html
Takeaways
APIs are not new, how we use them is!
API usage is growing exponentially - the way business will be
transacted going forward
APIs enable mobile, cloud, big data and social networks
IBM API Management is the right solution
• Leverage a robust API Gateway to launch your API platform
• Flexible deployment options – On-premise & SaaS
• Thought Leadership & Active Developer community
– Free access to experts to help with API strategy – Experience API Team
– Discussion forums, blog posts, events at developer.ibm.com/api
– 1M+ participants on IBM developerWorks
3 20
API Management Resources
Product Page
• ibm.com/apimanagement
API developer community
• developer.ibm.com/api
Twitter
• @ibmapimgt
YouTube Channel
• youtube.com/ibmapimanagement
Slideshare
• slideshare.net/ibmapimgmt
Speaker Deck
• speakerdeck.com/ibmapimgmt
21
Hinweis der Redaktion
Intro me and Vic
My role, home, travel around world, everyone wants to talk about APIs (and BPM)
Cool part is the innovation that is going on. Companies are finding new ways to utilize assets they have, data, process
The world is changing. Companies are making their business information available through business APIs to all types of consumers
Everything is connected and how we interact (with everything – eachother, companies) has changed
This is the cool part about APIs, the Innovation – business models are evolving and new channels are being created
Number of public APIs is growing exponentially
the fact is that by dec 2013, it crossed 10000 api
shows the xponential growth of APIs, almost doubling every 5 months
As the definition explains, the Web Economy is where companies [providers], expose their internal digital assets or service in the form of Web APIs to third party [consumers] with the goal of unlocking additional business value through the creation of new assets.
Emphasize definition
New Industry term for the business interactions that are being driven by APIs
The "API economy” has changed how developers think about building apps, and how organizations deploy software in the cloud.
Everywhere you look on the Web these days, it seems as if somebody’s launching new APIs.
There are over 10,000 API documented on programmable web today… and is significantly increasing as we speak.
Here a bank provides access to existing assets as APIs to offer Loan calculators and origination, which are accessed by external applications and solutions, such as Cars.com
Composable Business – using small blocks of well defined APIs allows developers to innovate quickly, make changes quickly – traditional development lifecycles are being reduced
Many of the Mobile apps companies are building are built by contractors, 3rd party developers, mobile app companies, overseas developers, who do not have expertise in the back end systems. Using APIs allows them to develop quickly
Let’s look at the Cars.com mobile app as an example.
Cars.com is a consumer of APIs, and has assembled several 3rd party apis together to form the base function of their cars app.
For example, they use a Map Provider API to provide a “store locator function”
APIs from a car dealer data aggregator for availability of certain makes and models.
They use APIs from a Bank to offer Loan calculators and origination
Auto insurance from an Insurance companies APIs
And can imagine them using the new Xtify API from IBM to provide notifications, that a car they were looking for was now found.
Now, let’s look at the API Economy from the Providers perspective
The Bank can extend it’s reach beyond customers doing on-line banking. By offering an API, that includes Mortgage Calculators, Lon Origination, On-line Payment, and Account Query
the bank can reach new mobile app providers link Cars.com (automotive sales), Zillow (on line real-estate), and Mint (financial data aggregator)
One of the questions I get a lot from customers is around API Business models – it is a good question, but difficult to answer, cause it depends, is the mission of the API branding, new revenue, defensive vs competition, etc.
So many great examples:
Love the USPS example, better than Amazon
love the expedia example – instead of competing against upstart travel companies, they open up an API and allow others to use their travel services
Pepsi pays developers in developing countries, like a Google scenario
Neiman Marcus
Electronic wallets are getting significant airplay that falls in line with the growth of smart phones. Particularly with customers under 35, they rarely leave any location without taking their phone. Using it for financial transactions using Near Field Communication (NFC) is growing and the pace will quicken in 2014. API Management provides a secure environment for transactions to take place and includes near real time analytics to understand what is going on with the transactions. To help generate new applications from internal, partner or independent developers, a branded, easy to use developer portal is included.
LoB / Marketing - APIs can be a new product. Enables them to join the API Economy. Generate new revenue, improve branding or work closer to Partners. Reduces time to reach new channels
Allows developers to be more efficient.
Concerns: Proper security and scale
Announce Apr 22, 2014. RFA58985. GA May 9, 2014
Summary
IBM API Management V3.0 delivers these key capabilities:
Application programming interface (API) developer can create, secure, control, deploy, analyze, and manage SOAP and REST APIs and services for internal or external consumption quickly through a single console.
API business owner can advertise, market, socialize and sell APIs as a product in developer communities (private, partner, and public) worldwide.
Application developers can easily find, understand, and have tools to help them consume the API, and are able to manage their application and understand its consumption.
IT operations can easily manage and upgrade the API environment to use existing investments in DataPower with the ability to monitor and scale without disruption to service.
Technical Details:API Management V3.0 delivers the following sets of capabilities:
1. API developer can create, secure, control, deploy, analyze, and manage SOAP and REST APIs and services for internal or external consumption quickly through a single console.
Policy-driven assembly that enables custom rate-limiting scenarios, enforced by the API Gateway (DataPower)
Fine-grained ability to set API quotas and rate limits
Visibility and control with ability to deploy across runtime environments
Ability to easily create different versions of an API and understand where those versions are deployed, such as in test, staging, or production
Ability to search for, add custom labels to, and mark favorite APIs and services for easier discovery in API Manager to work with APIs
Ability to notify within API Manager to understand who is working on the APIs and any issues the APIs might be having
Support for SOAP-based web services
Discovery of web services from WSRR
Ability to create an API by assembling REST-based and SOAP-based services
Role-based access for viewing and working with the APIs
Support for OAuth 2.0, an open standard for authorization
2. API business owner can advertise, market, socialize, and sell APIs as a product in developer communities worldwide:
Ability to have more than one developer portal in order to support more than one developer community (private, partner, and public), with controlled visibility.
Ability to create API plans which treat the APIs as product offerings, allows several APIs and resources per plan.
Improved application developer management, with the ability to send an email to all application developers in a particular community.
3. Application developer (also API consumer) can explore API documentation and provision application keys:
Developers can register their application, select API entitlement levels, and monitor their API usage.
A single ID allows a developer to be a member of multiple API Management communities.
Allows role-based access for viewing APIs.
4. IT Operations can easily manage and upgrade the API Environment using existing investments in DataPower with the ability to monitor and scale without disruption to service:
Simplified operations environment for API assembly using DataPower Gateway
Improved environment console experience
Improved tenant management with the introduction of organization and owners
Integration with enterprise authentication systems by using Lightweight Directory Access Protocol (LDAP) that enables administrators to streamline the user login process
Simplification of deployment architecture to only two tiers:
Gateway tier. DataPower appliance (virtual or physical appliance)
Management tier - API Management virtual appliance
Dick:
V3.0 Highlights
Streamlined deployment model, faster installation & configuration
Multiple developer communities to accelerate app development while enforcing access control
Enhanced OAuth 2.0 Support
Service discovery in WSRR
SaaS option to GA on September 26, 2014
Common functionality with on-premise version
Usage based pricing/subscription model
Fully elastic capacity hosted in IBM SoftLayer
Hybrid Model
On premise model for highly secure and steady state business
SaaS option for cloud/public traffic and peak usage requirements