Key drivers that are shaping the API-Driven Economy

Clearly the work dynamic has changed in recent times and will probably remain this way for the foreseeable future. While it poses several challenges for organizations and individuals, it also provides some incredible opportunities. Some of those opportunities are how businesses of all sizes are reaching out to their customers, how organizations are communicating with their remote teams and how work is now conducted across the world.

The existing business applications can be as simple as a spreadsheet and as complex as multi-layered databases and multiple applications spread over several departments. API is an abbreviation for Application Programming Interfaces that can tie in all of these and seamlessly converge and streamline all requirements to one communication system in a matter of minutes. This is the real power of API’s-speed, simplicity, and customization.

A simplified example of API is when you sign in to a certain website from your mobile phone you are telling that application that you would like to access. Then the mobile application will connect to an API and will retrieve all the credentials. The website will access this information to its server and data would be given to the mobile application. It emphasizes on enabling external and internal consumers to seamlessly access, interact, and engage with a company’s data and functions.

APIs come in different shapes and sizes and tend to be an efficient way to deliver performance and flexibility by maintaining the right balance between change, control, visibility, and stability. It also securely utilizes the functionalities and allows businesses to gain the benefits of digital transformation. Multiple API can now be unified and offered via cloud communications platforms for delivering services like SMS, voice, email, chat, and more.

When you look at modernising the enterprise IT, API has become a core component. It helps in bridging the gap between diverse applications where being connected defined everything. It is an important tool for businesses in the “API-driven Economy”. A lot of enterprises are considering APIs not just from an IT decision making perspective but also a vital part of digital transformation as they look at redefining their business models.
The enterprises that adopt APIs quickly will gain significant benefits as it may give them a new lease of life in this unprecedented situation.

Key drivers shaping the API- Driven economy:

Artificial Intelligence:

AI and API are complementary to each other due to their exponential growth and adoption in recent years. Adding AI into your existing applications is one of the easiest ways to enhance the customer experience.

With the help API, enterprises and developers can introduce AI capabilities into their API without needing any extra help. Global cloud vendors (like Route Mobile), offer a rich set of AI and API that can be easily accessed from the cloud. APIs usually provide a simple and easy-to-scale approach to integrating AI in the new and existing applications and beyond.

With the right approach and training, AI can improve its ability to process data and drive automation, which can eventually help the system to learn, adapt and enable more predictive, customized and timely customer services, which can result in improved customer experience.

As today’s enterprises are facing a flood of new data, incorporating AI & API in the applications may ensure the unique and customer-centric experiences through which enterprises can witness a positive transformation. Digital communication is the next big thing and cloud-based API will transform the way of our regular communication with brands.

Internet of Things (IoT):

Research done by Ericsson shows there are more than 1.3 billion cellular IoT devices and that number is to rise by 5 billion by 2025. It’s no surprise that businesses are anxious to develop applications that support these devices. The device manufacturers make sure that IoT is well integrated with APIs which interfaces effectively and easier for developers. Where security is vital in deploying IoT projects, it’s possible to deliver a high-end security with API led approach where one can regulate and enforce who can access the data.

REST API is required for every device to truly achieve IoT. It allows data to flow over internal protocols that can delegate and manage the authorization. IoT helps in leveraging REST API endpoints as most of the services rely on them as it quickly wires up IoT and brings multiple services together. REST API is the easiest way to connect with applications and IoT to interact in a standardized way.

Bots:

APIs are the great enablers of bots as the growth highly depends on them and streamlines the process. Chatbots are designed to interact with human beings using artificial intelligence to process the language. APIs help to leverage technologies implemented by the third party where they don’t need to build a bot from scratch. According to Statista, the chatbot market size is expected to reach US$994.5 million in 2024.

Chatbot APIs combine Natural Language Processing (NLP) to build a successful chatbot that takes in the request, extracts the intent of the message, and then lastly delivers the message. Chatbot takes over all the incoming traffic and is then assigned to the right support team. Companies keep adding new APIs to their infrastructure allowing them to improve efficiency by facilitating speedier information and data sharing.

Unparalleled industry collaboration:

In today’s fast-paced world, it is important to be agile and for that collaborations and partnerships have now become an absolute necessity. APIs let enterprises connect with ease to any application they desire to test, develop, and implement. This can enable them to drive efficiency and seamlessly implement new channels of communication without a need to worry much about the infrastructure. It can help to streamline internal processes, define and enhance their end-user/customer experience via a channel that allows them to easily communicate with them. Moreover, they can also get insights into communications using a dashboard and plan their next communication effectively.

Enterprises need to collaborate with aggregators who understand the technology and have good global connectivity. They can enable enterprises to connect by enabling quick and easy onboarding. It further can facilitate the establishment of new channels for revenue and ensures customer satisfaction.

The changing dynamics, ongoing developments, and upgrades in the IT industry are instrumental in complimenting the rise in digital enhancements and adoption within telecom infrastructure. APIs have become the need of the hour as it can automate the communication processes. Apart from large scale, small scale and medium scale businesses have also started adopting & exploring APIs due to limited capital investment required for deploying the setup, faster onboarding, and ensuring end-to-end communication cycle. The increase in penetration of cloud-based services is due to this constant innovation in technology that brings in the momentum for rapid API adoption.