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Home Industry Telecommunications

Telcos ignoring billions in API use

FutureIoT Editors by FutureIoT Editors
July 15, 2024
Photo by Andrea Piacquadio: https://www.pexels.com/photo/man-in-black-suit-sitting-on-chair-beside-buildings-3778966/

Photo by Andrea Piacquadio: https://www.pexels.com/photo/man-in-black-suit-sitting-on-chair-beside-buildings-3778966/

Juniper Research forecasts that global operator revenue from telecommunications APIs (Application Programming Interfaces) will grow substantially, from US$50 billion in 2024 to more than US$111 billion by 2027.

Telecommunications APIs provide operators with a tool to integrate their network capabilities and services into a single application; offering a channel to monetise their 5G networks.

The study, Global Telecommunications API Market 2024-2029, found operators’ biggest challenge in capitalising on this substantial revenue growth is maximising the exposure of these APIs.

Focus on maximising network exposure

The report identified network connectivity APIs as a key driver of API revenue; accounting for over 20% of global operators’ API revenue by 2027. Connectivity APIs, such as network slicing, guarantee enterprises acceptable network conditions, such as high throughput and low latency. The report forecasts these APIs will generate $72 billion for operators over the next four years.

However, network connectivity APIs are resource-intensive use cases requiring real-time adjustments of network functionality. While these APIs command a higher fee per API call, the report predicts operators will also face challenges in scaling APIs as demand grows.

Molly Gatford

Research Author Molly Gatford commented: “To accomplish both exposure and scalability, networks must employ various technologies, including cloud computing, network function virtualisation, and open radio access technologies, to be able to meet the demands from enterprises for network connectivity.”

Related:  Amazon-based retailer Songmics deploys Wi-Fi 6 in new warehouse
Tags: APIJuniper Research
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