APIs are [R]evolutionizing the Internet and the way companies distribute their data, content and services to the Web. This presentation prepared for the MEITO "API, le Net+ ultra" workshop in France will walk you through some key elements of consideration when embracing the API [R]evolution.

1. APIs for Biz Dev 2.0
Which Business Model?
Guillaume Balas - CMO @3scale
guillaume@3scale.net - @guillaumebalas

2. Introduction
THE RISE OF THE APIS
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3. APIs are growing & reshaping the new Web
This is not a trend, this is a fact
5B / Day (April ‘10)
5B / Day (Oct ‘09)
75% Traffic (April ‘10)
8B / Mth (Oct ‘09)
3B / Day (March ‘09)
50% Traffic (March ‘08)
Success for these businesses is
Annual growth in # of APIs: 100%
heavily relying on their API(s)
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4. APIs are everywhere
Examples
Media & Content SaaS Integration
Social & e-Commerce Others
Interest is broad and deep Currently disrupting the web !
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5. What is an API ?
WHY IS IT IMPORTANT?
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6. Application Programming Interface
Definition
“A particular set of rules and specifications that a software
program can follow to access and make use of the services
and resources provided by another particular software
program that implements that API.
It serves as an interface between different software
programs and facilitates their interaction, similar to the way the
user interface facilitates interaction between humans
and computers.”
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7. Web sites are local
There was 255 Million Web sites as of December 2010
Disadvantages:
 Limited reach
 Lost business opportunities
 Limited brand awareness
 Web scraping risks
 Significant SEO and SEM
costs
Source: Dion Hinchcliffe, http://blogs.zdnet.con/Hinchcliffe
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8. APIs help you grow your business
APIs are Biz Dev 2.0 – The first paradigm shift
Advantages:
APIs unlock distribution
channels and enable you to
expand your business beyond
the limits of your web site.
Source: Dion Hinchcliffe, http://blogs.zdnet.con/Hinchcliffe
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9. APIs Deliver Raw Data, Content and Services
Allowing you to…
Create New
Build an Power Mobile
Distribution Partner Up
Ecosystem Apps
Channels
Rationalize and
Serve any type of Protect your Decrease your
Control who
device, software, cost of serving
IPR accesses your
anywhere your customer
resources
“Externalize” your
Lower Barriers to Create New Reach More
R&D and
Integration Business Models Customers
Foster Innovation
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10. APIs Deliver Raw Data, Content and Services
Generating
Strategic Advantage
Business Advantage
New Revenue Streams
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11. An API?
SO WHAT NOW?…
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12. API business strategy
Get the most from your API
APIs enable cloud scale MVC, Identify your own core asset
Choose the complementary asset
which will deliver most value
Define the strategy to capture the
value most effectively
Examples of API Business Strategy
allowing you to focus on your core
Presentation Logic Data Mission
asset. Revolutionize the way people
✓
watch movies
Simplify the world of telecom
✓
by providing simple,
powerful, pay-as-you-go IaaS
Increase the world's access
✓
to data, especially free and
open data
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13. API typology
Concepts
Typical Evolution of an API 1
Private APIs Rationales
They are used internally to facilitate the  Rationalize infrastructure
integration of different applications/systems  Reduce costs
used by your company.  Increase flexibility
 Improve internal operations
Partners APIs
Enable the integration of software between  Value-added service
your organization and your business partners.
 Up sell
 Must have for your partners
Public APIs
Publicly expose information and functionality
of one or various of your systems/  Foster innovation
applications to 3rd that don’t necessarily have  Increase reach, traffic
a business relationship with your company  New revenue stream
1 Not necessarilly always the case (e.g musiXmatch, Seevl, Genability)
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14. API business model
Another paradigm shift
Source: John Musser, ProgrammableWeb.com
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15. API delivery
How?
Developers
Your content &
services Customers
Partners
Your
API
Affiliates
Mobile Users
Internal Projects
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16. API delivery
How?
Access Control?
Developers
Your content &
services
Security? Customers
Your
Monitoring?
Partners
API Monetizing ?
Affiliates
User Experience?
Mobile Users
Scalability? Internal Projects
Flexibility?
Reach?
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17. API delivery
“Managing” your API operations
Developers
Your content &
services Access Control Customers
& Security
API Business Engine Analytics & Partners
Your Reporting
API
Developer & Affiliates
Partner Portal
Billing & Mobile Users
Payments
API Management Solution
Internal Projects
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18. API managemen solution
To deliver the power of your APIs to the Internet
Access Control Flexible &
& Security
Configurable
Speed time to
API Business Engine
Analytics &
Reporting market
Developer & Highly Scalable
Partner Portal
Cost Effective
Billing & Value Added
Payments
Services
API Management Solution
A key enabler for your API Business and Operations
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19. WHAT
WHO
HOW
What
is
your
API?
Who
will
use
your
How
do
you
offer
API?
your
API?
Your
API
is
the
product?
Business
Partners?
Business
Model?
Calls/requests
to
your
API
are
the
primary
Facilitate
the
integra<on
of
your
product
in
Direct/Indirect?
Tiered/Freemium?
Revenue
The Plug & Play Cloud API Management Platform
(only?)
way
to
interact
with
your
technology,
as
many
devices,
services
or
soBware
sharing?
White
labeling?
Partnerships?
data,
content
provided
by
your
business
partners
(e.g.
Twillio,
Amazon
AWS,
SImpleGeo,
(e.g.
Samsung
&
Skype,
Spo2fy
&
7Digital)
(e.g.
Bluevia,
Wine.com,
PeopleBrowsr)
for Startups, SMBs and Enterprises
Musixmatch
)
Extends
the
reach
of
your
product?
Customers?
Technology
choice?
Your
API
is
a
way
for
your
partners
to
make
Sell
your
product
(content,
data
or
services)
Authoriza<on,
provisioning
and
control
of
their
customers
experience
your
product
via
directly
to
clients
through
your
API
accesses?
Usage
Tracking?
their
own
apps,
devices,
solu<on
or
service
(e.g.
Twilio,
Daily
Telegraph,
LiveOps)
Proxy
versus
Plugin
API
Management
(e.g.
Skype,
Maxdome,
7Digital)
solu<on?
Promotes
your
product?
Developers?
User
Experience?
Adver<se
your
product
in
different
ways
-­‐
“Outsource”
your
R&D
to
Developers.
Tap
SDK?
Widget?
Interac<on
and
Support?
such
as
via
an
affiliate
program.
into
their
fantas<c
crea<vity
and
innova<on
T&C
and
SLAs
proposed?
Blogs?
Forum?
(e.g.
Wine.com,
Oodle.com)
skills
to
evolve
your
product
Documenta<on?
(e.g.
Twilio,
Salesforce)
Makes
your
product
be<er,
richer?
Your
Company?
MarkeDng,
PromoDon?
Your
API
is
a
channel
to
get
new
content/ Make
it
easier,
faster
and
more
flexible
to
Hackathons,
Dev.
Challenges?
Private
Beta,
value
"into”
your
business
that
goes
to
make
use/access
your
assets.
Homogenize
and
Public
Beta?
Use
cases?
up
part
of
the
service.
centralize
access
to
your
data.
(e.g.
Viadeo
Dev
Challenge)
(e.g.
TwiNer,
eBay,
Facebook)
(e.g.
NeClix,
Seevl,
The
Guardian,
NPR)
19

20. Conclusion
RECOMMENDATIONS
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21. Dos & Don’ts
Tips and tips to avoid pitfalls
Dos Don’ts
API first, Mobile second, Web third API as a “side project”
Do your homework (Who, What, Neglect developers
How)
Bad documentation (or inexistent)
Start “small” in terms of
functionalities (you can always add but Bad sample code/examples (or
you can never remove) inexistent)
Provide a compelling value No versioning planned
proposition to drive adoption and
grow your API ecosystem
No or unclear Terms & Conditions
Remain flexible to evolve with the
needs of your user base
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22. Thank you !
QUESTIONS & ANSWERS
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23. Thank you !
Email: guillaume@3scale.net
Twitter: @guillaumebalas
3scale USA. 3scale SPAIN 3scale UK
440 N Wolfe Rd, Calle Llacuna 162-164 Techhub, 76-80 City Rd
Sunnyvale, CA 94085 08018 Barcelona London EC1Y 2BJ
USA Spain United Kingdom
+1 (408) 524 1503 +34 933 092 786 +44 758 069 2832
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24. Annexes
ABOUT 3SCALE
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25. 3scale Overview
and more…
International Deep technical
Team expertise
Infrastructure as a Service
for APIs – create business
value from APIs
High Founded
Gartner cool vendor / Cloud perf. in 2007
Computing, March 2010 infrastructure
Barcelona / Spain – London / England – San Francisco / California
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26. 3scale API managemen platform
Helps you “Deliver the power of APIs to the Internet”
Access Control Flexible &
& Security
Configurable
Speed time to
API Business Engine
Analytics &
Reporting market
Developer & Highly Scalable
Partner Portal
Cost Effective
Billing & Value Added
Payments
Services
API Management Solution
3scale, a key enabler for your API Business and Operations
The Plug & Play Cloud API Management Platform 26
for Startups, SMBs and Enterprises