The Business of APIs
summary
Argues that APIs create outsized business value vs. SaaS using market multiples (SaaS ~30–50x revenue, API companies 70–100x), cites a 2017 study showing 10.3% average lift in firm value from API adoption, and claims over 30,000 public APIs with ~40% year‑on‑year growth. Describes building a transaction‑driven API marketplace serving 1 million users, highlights enterprise pain points — discovery, access, pricing, tooling, churn — and points to API aggregators (Nylas, Zeus, Plaid acquired by Visa for $5B) as practical solutions.
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chapters (25)
- 0:00Introduction
- 0:58API use cases
- 2:34Jeds background
- 3:05How Jed got into APIs
- 3:51Summary of Jeds mission
- 4:55Qualitative reasons
- 7:00Apple apples comparison
- 7:56SOAP vs REST API
- 8:55Native API companies
- 9:40API business models
- 10:18API growth
- 10:41Digital ocean
- 11:33Developer experience
- 12:37API comparison
- 14:23APIs as aggregators
- 15:48Enterprise API adoption
- 16:58Top pain points
- 17:14Top 5 pain points
- 18:01APIs of product thinking
- 19:02Layers of an API program
- 19:49Brand identity
- 21:16Dont reinvent the wheel
- 22:16Content marketing
- 23:07Organic views
- 23:22Marketing stack
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