Digital services are seemingly always evolving in often productive and intriguing ways. One of these latest rearrangements comes in the form of the API economy? So what is it? Is it little more than a glorified word for a connected network, or is there a whole lot more to this potentially-game-changing shift in the digital organization?
What is the API Economy?
API economy is the word for how digital services handle and organize their Application Programming Interfaces (API). The term "economy" delivers on the idea that these various APIs are communicating, organized, and connected in an infinite number of ways.
One great example is in updating. If one API is updated, how are the others affected? Is the communication altered or worsened in some way? The data extracted from one software or interface platform should be passed to the next seamlessly and without any change. This is the essence of the API economy. The API economy is the connective tissue drawing data from one source to the next, without interruption.