API stands for Application Programming Interface. An API is a set of definitions and protocols that enable two software components to communicate with each other. APIs allow products and services to communicate with each other without having to know how they are implemented. They are mechanisms that enable two software components to communicate with each other using a set of definitions and protocols. APIs are all around us, and we use them every day, such as when we use a rideshare app, send a mobile payment, or change the thermostat temperature from our phone.

APIs are designed to be developer-friendly, self-described, easily accessible, and understood broadly. They are treated more like products than code, and they are designed for consumption for specific audiences. APIs are documented and versioned in a way that enables users to have clear expectations of their maintenance and lifecycle.

APIs are used to integrate new applications with existing software systems, which increases development speed because each functionality doesn’t have to be written from scratch. APIs present a unique opportunity for businesses to meet their clients’ needs across different platforms. They simplify app development, saving time and money, and provide opportunities for innovation. APIs help business and IT teams collaborate, and they allow businesses to respond quickly and support the rapid deployment of innovative services.

On average, 35% of organizations’ revenue is now generated by APIs and related implementations. Public APIs represent unique business value because they can simplify and expand how businesses connect with their partners, as well as potentially monetize their data.