The API Economy Is Now Bigger Than SaaS Most people don't see it. But there's a massive shift happening in tech. The numbers: API economy: $2.5 trillion in 2024 SaaS economy: $195 billion APIs growing 35% YoY vs SaaS at 18% What's an API economy? Instead of selling software, companies sell access to their infrastructure. Examples: Stripe: $70B valuation on payment APIs. Twilio: $4.5B revenue from communication APIs. Plaid: $13.4B valuation for banking APIs They don't have a UI. No dashboards. Just pure infrastructure that other companies plug into. SaaS to API Convergence Shopify: 20%+ revenue from APIs/apps ecosystem. Salesforce: $6B from platform/APIs (growing fastest). HubSpot: API usage up 40% YoY, powering custom workflows. The future isn't standalone products. It's composable infrastructure. Companies don't want another tool. They want capabilities they can embed into their existing workflows. P.S. Is your product a destination or an ingredient? #APIs #TechTrends #SaaS #IndustryInsights
API Economy Surpasses SaaS in Value, $2.5T in 2024
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Is your product a destination or an ingredient?